2018 (12) TMI 2004 - AT - Income Tax

TP Adjustment - comparability of the company M/s.Megasoft in the software segment - HELD THAT - This issue is covered by the decision of the coordinate bench of Tribunal in the case of Tesco Hindustan Service Centre Pvt. Ltd 2016 (12) TMI 1712 - ITAT BANGALORE and Core Objects India (P) Ltd. 2016 (7) TMI 1331 - ITAT BANGALORE as held that M/s Megasoft Ltd. should be considered as a good comparable after segmentation and therefore, in the present case, we direct the AO/TPO to consider this company i.e. M/s Megasoft Ltd., (supra) as a comparable after segmentation of its result. Thus this ground of appeal is allowed.

Summary

The ITAT Bengaluru allowed the appeal regarding the comparability of M/s. Megasoft in the software segment, following the decision of the coordinate bench in the case of Tesco Hindustan Service Centre Pvt. Ltd. vs. DCIT and Core Objects India (P) Ltd. vs. ITO. The appeal was recalled and decided on 05th December, 2018.