EATON TECHNOLOGIES PVT.LTD,,PUNE vs. PR. COMMISSIONER OF INCOME-TAX-1,, PUNE

Bench: Shri S.S.Godara & G.D.Padmahshaliआयकरअपीलसं. / Ita No.590/Pun/2018 िनधा"रण वष" / Assessment Year: 2014-15 Eaton Technologies Private Limited, Dcit, Circle-1(2), Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue आयकरअपीलसं. / Ita No.902/Pun/2018 िनधा"रण वष" / Assessment Year: 2011-12 Eaton Technologies Private Limited, Pr.Cit-1, Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue

Transfer Pricing assessment can at best be taken as an indicator for the Assessing Officer to investigate as to whether or not there exists any arrangement which has resulted in more than ordinary profits qua the requirements of section 10A(7) r.w.s. 80-IA(10) of the Act. Even if it is accepted that the difference between the operating margins

EATON TECHNOLOGIES PVT.LTD,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE - 1(2),, PUNE

Bench: Shri S.S.Godara & G.D.Padmahshaliआयकरअपीलसं. / Ita No.590/Pun/2018 िनधा"रण वष" / Assessment Year: 2014-15 Eaton Technologies Private Limited, Dcit, Circle-1(2), Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue आयकरअपीलसं. / Ita No.902/Pun/2018 िनधा"रण वष" / Assessment Year: 2011-12 Eaton Technologies Private Limited, Pr.Cit-1, Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue

Transfer Pricing assessment can at best be taken as an indicator for the Assessing Officer to investigate as to whether or not there exists any arrangement which has resulted in more than ordinary profits qua the requirements of section 10A(7) r.w.s. 80-IA(10) of the Act. Even if it is accepted that the difference between the operating margins

DEPUTY COMMISSIONER OF INCOME TAX CIR 1(1), PUNE vs. EATON TECHNOLOGIES PVT. LTD.,, PUNE

Appeals are partly allowed for statistical purpose in above terms

Bench: Shri S.S.Godara & Dr. Dipak P. Ripoteआयकरअपीलसं. / Ita Nos.42 & 43/Pun/2021 िनधा"रणवष" / Assessment Years : 2015-16 & 16-17 Dcit, Circle-1(1), Pune. M/S.Eaton Technologies Pvt. Ltd., Vs Cluster C Wing-1, Eon Zone, Midc Kharadi, Knowledge Park, Plot No.1, Survey No.77, Kharadi, Pune – 411014. Pan: Aabce 4323 Q Appellant/ Assessee Respondent /Revenue Assessee By Shri Vishal Kalra & Shri Ss Tomar -Ar Revenue By Shri Sunil Kumar – Cit(Dr) Date Of Hearing 24/06/2022 Date Of Pronouncement 07/07/2022 आदेश/ Order Per S.S.Godara, Jm: These Revenue’S Twin Appeals For The Assessment Years 2015- 16 & 2016-17 Arise Against The Cit(A)-13, Pune’S Separate Orders; Both Dated 29.05.2020, Passed In Case No.Pn/Cit(A)-13/Dcit, Circle-1(2), Pune/10142/2019-20/02, Pn/Cit(A)-13/Dcit, Circle- 1(2), Pune/10142/2019-20/03 Respectively, Involving Proceedings Under Section 143(3) Of The Income Tax Act, 1961. Heard Both The Parties. Case Files Perused.

Transfer Pricing assessment can at best be taken as an indicator for the Assessing Officer to investigate as to whether or not there exists any arrangement which has resulted in more than ordinary profits qua the requirements of section 10A(7) r.w.s. 80-IA(10) of the Act. Even if it is accepted that the difference between the operating margins

DEPUTY COMMISSIONER OF INCOME TAX CIR 1(1), PUNE vs. EATON TECHNOLOGIES PVT. LTD.,, PUNE

Appeals are partly allowed for statistical purpose in above terms

Bench: Shri S.S.Godara & Dr. Dipak P. Ripoteआयकरअपीलसं. / Ita Nos.42 & 43/Pun/2021 िनधा"रणवष" / Assessment Years : 2015-16 & 16-17 Dcit, Circle-1(1), Pune. M/S.Eaton Technologies Pvt. Ltd., Vs Cluster C Wing-1, Eon Zone, Midc Kharadi, Knowledge Park, Plot No.1, Survey No.77, Kharadi, Pune – 411014. Pan: Aabce 4323 Q Appellant/ Assessee Respondent /Revenue Assessee By Shri Vishal Kalra & Shri Ss Tomar -Ar Revenue By Shri Sunil Kumar – Cit(Dr) Date Of Hearing 24/06/2022 Date Of Pronouncement 07/07/2022 आदेश/ Order Per S.S.Godara, Jm: These Revenue’S Twin Appeals For The Assessment Years 2015- 16 & 2016-17 Arise Against The Cit(A)-13, Pune’S Separate Orders; Both Dated 29.05.2020, Passed In Case No.Pn/Cit(A)-13/Dcit, Circle-1(2), Pune/10142/2019-20/02, Pn/Cit(A)-13/Dcit, Circle- 1(2), Pune/10142/2019-20/03 Respectively, Involving Proceedings Under Section 143(3) Of The Income Tax Act, 1961. Heard Both The Parties. Case Files Perused.

Transfer Pricing assessment can at best be taken as an indicator for the Assessing Officer to investigate as to whether or not there exists any arrangement which has resulted in more than ordinary profits qua the requirements of section 10A(7) r.w.s. 80-IA(10) of the Act. Even if it is accepted that the difference between the operating margins

M/S. SAVA HEALTHCARE LTD,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME TAX,, PUNE

In the result, 70% of world profits are added in the hands of assessee under guise of Profit Split Method

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.1062 To 1068/Pun/2017 यििाारण वषा / Assessment Years : 2007-08 To 2013-14

3) r.w.s. 144C(13) of the Act r.w.s. 153A of the Act noted the directions of DRP, which reduced the transfer pricing adjustment to ₹ 29,78,900/- as against ₹ 91,21,109/- proposed in the draft order. Further, as per directions of DRP, gross value of international transaction as in Form 3CEB of ₹ 7,73,67,713/- were added

M/S. SAVA HEALTHCARE LTD,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME TAX,, PUNE

In the result, 70% of world profits are added in the hands of assessee under guise of Profit Split Method

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.1062 To 1068/Pun/2017 यििाारण वषा / Assessment Years : 2007-08 To 2013-14

3) r.w.s. 144C(13) of the Act r.w.s. 153A of the Act noted the directions of DRP, which reduced the transfer pricing adjustment to ₹ 29,78,900/- as against ₹ 91,21,109/- proposed in the draft order. Further, as per directions of DRP, gross value of international transaction as in Form 3CEB of ₹ 7,73,67,713/- were added

M/S. SAVA HEALTHCARE LTD,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME TAX,, PUNE

In the result, 70% of world profits are added in the hands of assessee under guise of Profit Split Method

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.1062 To 1068/Pun/2017 यििाारण वषा / Assessment Years : 2007-08 To 2013-14

3) r.w.s. 144C(13) of the Act r.w.s. 153A of the Act noted the directions of DRP, which reduced the transfer pricing adjustment to ₹ 29,78,900/- as against ₹ 91,21,109/- proposed in the draft order. Further, as per directions of DRP, gross value of international transaction as in Form 3CEB of ₹ 7,73,67,713/- were added

M/S. SAVA HEALTHCARE LTD,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME TAX,, PUNE

In the result, 70% of world profits are added in the hands of assessee under guise of Profit Split Method

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.1062 To 1068/Pun/2017 यििाारण वषा / Assessment Years : 2007-08 To 2013-14

3) r.w.s. 144C(13) of the Act r.w.s. 153A of the Act noted the directions of DRP, which reduced the transfer pricing adjustment to ₹ 29,78,900/- as against ₹ 91,21,109/- proposed in the draft order. Further, as per directions of DRP, gross value of international transaction as in Form 3CEB of ₹ 7,73,67,713/- were added

M/S. SAVA HEALTHCARE LTD,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME TAX,, PUNE

In the result, 70% of world profits are added in the hands of assessee under guise of Profit Split Method

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.1062 To 1068/Pun/2017 यििाारण वषा / Assessment Years : 2007-08 To 2013-14

3) r.w.s. 144C(13) of the Act r.w.s. 153A of the Act noted the directions of DRP, which reduced the transfer pricing adjustment to ₹ 29,78,900/- as against ₹ 91,21,109/- proposed in the draft order. Further, as per directions of DRP, gross value of international transaction as in Form 3CEB of ₹ 7,73,67,713/- were added

M/S. SAVA HEALTHCARE LTD,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME TAX,, PUNE

In the result, 70% of world profits are added in the hands of assessee under guise of Profit Split Method

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.1062 To 1068/Pun/2017 यििाारण वषा / Assessment Years : 2007-08 To 2013-14

3) r.w.s. 144C(13) of the Act r.w.s. 153A of the Act noted the directions of DRP, which reduced the transfer pricing adjustment to ₹ 29,78,900/- as against ₹ 91,21,109/- proposed in the draft order. Further, as per directions of DRP, gross value of international transaction as in Form 3CEB of ₹ 7,73,67,713/- were added

JOHN DEERE INDIA PVT. LTD.,,PUNE vs. DEPUTY DIRECTOR OF INCOME-TAX,,

In the result, all the appeals of assessee are allowed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.905 & 906/Pun/2015 यििाारण वषा / Assessment Years :2007-08 & 2008-09

transfers to Deere & Co, no right, title or interest in the software, the documentation, or any copyright, patent, trademark, trade secret or other intellectual property or proprietary right in the software or the documentation. It is specifically provided that ‘Dakota’ retains sole and exclusive title to all portions of software and documentation and any copies thereof. 62. Now, coming

JOHN DEERE EQIPMENT P. LTD.,,PUNE vs. DEPUTY DIRECTOR OF INCOME-TAX,,

In the result, all the appeals of assessee are allowed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.905 & 906/Pun/2015 यििाारण वषा / Assessment Years :2007-08 & 2008-09

transfers to Deere & Co, no right, title or interest in the software, the documentation, or any copyright, patent, trademark, trade secret or other intellectual property or proprietary right in the software or the documentation. It is specifically provided that ‘Dakota’ retains sole and exclusive title to all portions of software and documentation and any copies thereof. 62. Now, coming

JOHN DEERE INDIA PVT. LTD.,,PUNE vs. DEPUTY DIRECTOR OF INCOME-TAX,,

In the result, all the appeals of assessee are allowed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.905 & 906/Pun/2015 यििाारण वषा / Assessment Years :2007-08 & 2008-09

transfers to Deere & Co, no right, title or interest in the software, the documentation, or any copyright, patent, trademark, trade secret or other intellectual property or proprietary right in the software or the documentation. It is specifically provided that ‘Dakota’ retains sole and exclusive title to all portions of software and documentation and any copies thereof. 62. Now, coming

JOHN DEERE EQIPMENT P. LTD.,,PUNE vs. DEPUTY DIRECTOR OF INCOME-TAX,,

In the result, all the appeals of assessee are allowed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita Nos.905 & 906/Pun/2015 यििाारण वषा / Assessment Years :2007-08 & 2008-09

transfers to Deere & Co, no right, title or interest in the software, the documentation, or any copyright, patent, trademark, trade secret or other intellectual property or proprietary right in the software or the documentation. It is specifically provided that ‘Dakota’ retains sole and exclusive title to all portions of software and documentation and any copies thereof. 62. Now, coming

ACIT,CIR.-1,, AURANGABAD vs. SKODA AUTO INDIA PVT. LTD.,, AURANGABAD

In the result, appeal of the assessee in ITA No

Bench: Shri R.S.Syal, Vp & Shri Partha Sarathi Chaudhury, Jm आयकर अपीऱ सं. / Ita No.714/Pun/2011 नििाारण वषा / Assessment Year : 2005-06 The Assistant Commissioner Of Income Tax, Circle-1, Aurangabad. .......अऩीऱाथी / Appellant बिाम / V/S. Skoda Auto India Pvt. Ltd. Plot No.A1/1, Shendra Five Star Industrial Area, Midc, Aurangabad-431 201 Pan :Aaecs3749M ……प्रत्यथी / Respondent

201 PAN :AAECS3749M .......अऩीऱाथी / Appellant बिाम / V/s. The Assistant Commissioner of Income Tax, Circle-1, Aurangabad. ……प्रत्यथी / Respondent Assessee by : Shri Nikhil Pathak & Ms. Meenal Sabnis Revenue by : Shri Avadhesh Kumar, CIT सुनवाई की तारीख / Date of Hearing : 01.07.2019 घोषणा की तारीख / Date of Pronouncement : 02.07.2019 आदेश / ORDER PER PARTHA SARATHI CHAUDHURY, JM : This appeal (ITA No.714/PUN/2011) preferred

SKODA AUTO INDIA PVT. LTD.,,AURANGABAD vs. ASSISTANT COMMISSIONER OF INCOME-TAX,, PUNE

In the result, appeal of the assessee in ITA No

Bench: Shri R.S.Syal, Vp & Shri Partha Sarathi Chaudhury, Jm आयकर अपीऱ सं. / Ita No.714/Pun/2011 नििाारण वषा / Assessment Year : 2005-06 The Assistant Commissioner Of Income Tax, Circle-1, Aurangabad. .......अऩीऱाथी / Appellant बिाम / V/S. Skoda Auto India Pvt. Ltd. Plot No.A1/1, Shendra Five Star Industrial Area, Midc, Aurangabad-431 201 Pan :Aaecs3749M ……प्रत्यथी / Respondent

201 PAN :AAECS3749M .......अऩीऱाथी / Appellant बिाम / V/s. The Assistant Commissioner of Income Tax, Circle-1, Aurangabad. ……प्रत्यथी / Respondent Assessee by : Shri Nikhil Pathak & Ms. Meenal Sabnis Revenue by : Shri Avadhesh Kumar, CIT सुनवाई की तारीख / Date of Hearing : 01.07.2019 घोषणा की तारीख / Date of Pronouncement : 02.07.2019 आदेश / ORDER PER PARTHA SARATHI CHAUDHURY, JM : This appeal (ITA No.714/PUN/2011) preferred

DEPUTY COMMSSIONER OF INCOME TAX CIRCLE-1(1), PUNE vs. FERRERO INDIA PVT.LTD, PUNE

section 92F(v) of the Act and thus constitutes a transaction. Therefore, the excess expenditure incurred by the taxpayer for Brand Promotion of its AE constitutes an international transaction. The TPO observed that though taxpayer has sold the products the ultimate beneficiary is the manufacturer whose products have been sold and therefore, the brand name of the manufacturer has been

SAS RESEARCH AND DEVELOPMENT (INDIA) PVT.LTD,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE - 6,, PUNE

In the result, Ground No‟s

Bench: Shri R.S.Syal & Shri S.S.Viswanethra Raviphysical Court Of Hearing आयकरअपीलसं. / Ita No.1959/Pun/2018 निर्ाारण वषा / Assessment Year : 2014-15 Sas Research & Development The Asst. Commissioner Of (India) Private Limited, Vs Income Tax, Circle-6, Pune. Level1, 2A & 3, Tower 5, Cybercity, Magarpatta City, Hadapsar, Pune – 411 0103 Pan: Aaecs 8099 L Appellant/ Assessee Respondent /Revenue Assessee By Shri Rajendra Agiwal– Ar Revenue By Shri Piyush Kumar Singh Yadav - Dr Date Of Hearing 11/04/2022 Date Of Pronouncement 19/04/2022 आदेश / Order Per Ss Viswanethra Ravi, Jm : This Is An Appeal Filed By The Assessee Directed Against The Order Of Ld.Assistant Commissioner Of Income Tax, Circle-6, Pune Dated 31.10.2018 For The Assessment Year 2014-15. The Assessee Raised Following Grounds Of Appeal: “1. Inappropriate Transfer Pricing Adjustment Even Though The Pricing Of All International Transactions Of The Appellant Was At Arm’S Length Erred On The Facts & In Circumstances Of The Case & In Law By Making/Confirming Transfer Pricing Adjustment By Rejecting The Analysis Undertaken By The Appellant To Determine Arm‟S Length Price Of Its International Transactions Pertaining To Rendering Of Software Development Support, Consultancy & Training Services To The Aes. 2. Inappropriate Rejection Of The Transfer Pricing Documentation Appropriately Maintained By The Appellant Erred On The Facts & In Circumstances Of The Case & In Law By Inappropriately Rejecting The Transfer Pricing Documentation Appropriately Maintained By The Appellant & By Inappropriately Conducting A Fresh Search For Benchmarking The Appellant‟S International Transactions.

Transfer Pricing Guidelines provide fundamental principle that the adjustment made should be reasonably accurate. None of the workings on the risk adjustment can be considered reasonably accurate. The assessee has requested for risk adjustment. This issue is also considered. “Thus, there is no unanimity on the issue of granting risk adjustment, leave alone prescribing of sound methodology to grant risk

KNORR-BREMSE TECHNOLOGY CENTRE INDIA PRIVATE LIMITED,PUNE vs. DY. CIT, CIRCLE-14,, PUNE

Appeal is dismissed

Bench: Shri R.S.Syal, Vp & Shri Partha Sarathi Chaudhury, Jm Assessment Year: 2015-16

Transfer Pricing Officer. 12. Levy of interest under sections 234B, 234C of the Act on account of additions made to the total income Erred on the facts and in law by levying interest under section 234B and section 234C of the Act. The Appellant craves leave to add, alter, amend, amplify or modify any or all of the above grounds