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TMI Blog2016 (6) TMI 1369X X X X Extracts X X X X X X X X Extracts X X X X ..... yees more than 100 during the previous year relevant to assessment year under consideration - HELD THAT:- On a perusal of the provisions of section 80JJA of the Act, which is extracted below, we do not find that any such condition is imposed in the said provision. As requires to be satisfied that all other conditions mentioned in provisions of section 80JJA are fulfilled before allowing deduction u/s 80JJA of the Act. Therefore, this ground of appeal is also rest - IT(TP)A No.431/Bang/2016 (Assessment year: 2011-12) - - - Dated:- 30-6-2016 - Smt. Asha Vijayaraghavan, Judicial Member And Shri Inturi Rama Rao, Accountant Member Appellant by : Shri S.Ramasubramanian, CA Respondent by : Shri Sanjay Kumar, CIT(DR) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m of ₹ 13,85,514. 7. That the learned lower authorities erred in law and on facts in making the TP adjustment in respect of the interest paid to the holding company. 8. That the learned lower authorities erred in law and on facts in applying LIBOR rates prevalent during the financial year 2010-11 even though the loans were taken during previous year ended 31.03.2006 and 31- 3-2007 and the learned lower authorities ought to have applied the rates prevalent on the date of taking the loan. 9. That the learned lower authorities erred in law and on facts in adopting six months EURO LIBOR rate even though the appellant has taken a loan with a tenure of five years. 10. Without prejudice to Grounds no. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... porated under the provisions of the Companies Act, 1956. It is engaged in the business of manufacturing and sale of enclosures, Heat Exchangers, Industrial cooling equipments, power distribution and MOD centres. Return of income for the assessment year 2011-12 was filed on 29/11/2011 admitting income of ₹ 21,45,45,141/-. The assessee-company declared the following international transactions: S.No. Particulars Amt Method 1. Purchase Of Components 63,625,778 TNMM 2. Purchase Of Advertisement Material ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Average int Charges 13.66% 4.13% Accordingly, draft assessment order dated 03/03/2015 was passed by the AO incorporating above transfer pricing adjustment and disallowance of the claim u/s 80JJA of the Act at a total income of ₹ 22,90,58,705/-. 4. Being aggrieved, objections were filed before the DRP contending inter alia that the TPO was not justified in suggesting adjustment inasmuch as interest paid to AE is less than Euro Libor rate. It was also contended that the TPO has actually taken the interest on inter-corporate loans repaid during the year. Against these objections, DRP directed the T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the provisions of section 80JJA of the Act, which is extracted below, we do not find that any such condition is imposed in the said provision. The provisions of section 80JJA are reproduced below: Deduction in respect of employment of new workmen. 80JJAA. (1) Where the gross total income of an assessee, being an Indian company, includes any profits and gains derived from any industrial undertaking engaged in the manufacture or production of article or thing, there shall, subject to the conditions specified in sub-section (2), be allowed a deduction of an amount equal to thirty per cent of additional wages paid to the new regular workmen employed by the assessee in the previous year for three assessment years including the assess ..... X X X X Extracts X X X X X X X X Extracts X X X X
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