Jones Lang LaSalle Property Consultants (India) Pvt. Ltd., New Delhi v. ACIT, New Delhi

ITA 5584/DEL/2011 | 2007-2008
Pronouncement Date: 22-11-2019 | Result: Partly Allowed

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Appeal Details

RSA Number 558420114 RSA 2011
Assessee PAN AAACL2089B
Bench Delhi
Appeal Number ITA 5584/DEL/2011
Duration Of Justice 7 year(s) 11 month(s) 10 day(s)
Appellant Jones Lang LaSalle Property Consultants (India) Pvt. Ltd., New Delhi
Respondent ACIT, New Delhi
Appeal Type Income Tax Appeal
Pronouncement Date 22-11-2019
Appeal Filed By Assessee
Order Result Partly Allowed
Bench Allotted I1
Tribunal Order Date 22-11-2019
Date Of Final Hearing 05-06-2017
Next Hearing Date 05-06-2017
First Hearing Date 05-06-2017
Assessment Year 2007-2008
Appeal Filed On 12-12-2011
Judgment Text
JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 1 OF 21 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH I-1 NEW DELHI BEFORE SHRI N.K. BILLAIYA ACCOUNTANT MEMBER AND SHRI KULDIP SINGH JUDICIAL MEMBER . . /. I.T.A NO.5584/DEL/2011 / ASSESSMENT YEAR:2007-08 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT. LTD. 1108-1110 ASHOKA ESTATE BARAKHAMBA ROAD CONNAUGHT PLACE NEW DELHI. VS. ACIT CIRCLE 4(1) NEW DELHI. APPELLANT / RESPONDENT PAN NO. AAACL2089B . . /. I.T.A NO.6465/DEL/2012 / ASSESSMENT YEAR:2008-09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT. LTD. 1108-1110 ASHOKA ESTATE BARAKHAMBA ROAD CONNAUGHT PLACE NEW DELHI. VS. ACIT CIRCLE 4(1) NEW DELHI. APPELLANT / RESPONDENT PAN NO. AAACL2089B & . . /. I.T.A NO.1648/DEL/2014 / ASSESSMENT YEAR:2009-10 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT. LTD. 1108-1110 ASHOKA ESTATE BARAKHAMBA ROAD CONNAUGHT PLACE NEW DELHI. VS. DCIT CIRCLE 4(1) NEW DELHI. APPELLANT / RESPONDENT PAN NO. AAACL2089B JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 2 OF 21 /ASSESSEE BY SHRI NAGESWAR RAO ADVOCATE & MS. SHERRY GOYAL ADVOCATE /REVENUE BY SHRI SANJAY I. BARA CIT DR / DATE OF HEARING: 21 .11.2019 /PRONOUNCEMENT ON 2 2 .11.2019 /O R D E R PER BENCH : 1. THESE ARE THREE SEPARATE APPEALS BY THE ASSESSEE PREFERRED AGAINST THREE SEPARATE ORDERS FOR ASSESSMENT YEARS 2007-08 2008-09 AND 2009- 10. SINCE COMMON ISSUES ARE INVOLVED IN ALL THESE APPEALS THEY WERE HEARD TOGETHER AND ARE DISPOSED OF BY THIS COMMON O RDER FOR THE SAKE OF CONVENIENCE AND BREVITY. ITA NO. 5584/DEL/2011 A.Y. 2007-08 :- 2. GROUND NO. 1 RELATES TO THE ADDITION ON ACCOUNT OF TRANSFER PRICING AMOUNTING TO RS. 10 53 11 989/-. 3. THE APPELLANT COMPANY IS ENGAGED IN PROVIDING RE AL ESTATE CONSULTANCY BROKERAGE DESIGN AND CONSTRUCTION OF OFFICE INTERIORS AND PROVISION OF PROJECT MANAGEMENT SERVICES. THE SERV ICES PROVIDED BY THE APPELLANT TO ITS ASSOCIATED ENTERPRISES ARE BROADLY GROUPED AS: I. PROPERTY MANAGEMENT ADVISORY AND BROKERAGE SERVICES AND; II. RECOVERY OF EXPENSES. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 3 OF 21 4. THE APPELLANT ALSO AVAILS THE FOLLOWING SERVICES FROM ITS ASSOCIATED ENTERPRISES: I. PROPERTY MANAGEMENT SERVICES; II. SPACE ACQUISITION LEASING AND MANAGEMENT SERVICES; III. MARKETING SUPPORT SERVICES; IV. MANAGEMENT CHARGE BUSINESS SERVICE ASSISTANCE. 5. THE DETAILS OF INTERNATIONAL TRANSACTION ARE AS UNDER: S.NO. NATURE OF INTERNATIONAL TRANSACTIONS VALUE (AMT. IN INR) METHOD APPLIED RECEIVED/ RECEIVABLE PAID/PAYABLE TRANSACTIONAL NET MARGIN (TNMM) 1. PROPERTY MANAGEMENT ADVISORY AND BROKERAGE SERVICES 31 36 976 AVAILING OF SERVICES 2. BUSINESS SERVICES CHARGES 105 311 989 PROFESSIONAL FEE 10 759 792 3. REIMBURSEMENT OF EXPENSES SOFTWARE LICENSE FEES 2 478 420 ESOP CHARGES 7 925 165 REIMBURSEMENT OF TRAVELING AND RELATED EXPENSES 3 747 627 4. PRIOR PERIOD EXPENSE & INCOME PRIOR PERIOD SERVICE INCOME 7 173 596 PRIOR PERIOD INCOME 351 930 5. RECOVERY OF EXPENSES RECOVERY OF TRAVELING AND RELATED EXPENSES 5 150 634 6. IN ITS TRANSFER PRICING STUDY THE ASSESSEE HAS S ELECTED TNMM AS THE MOST APPROPRIATE METHOD FOR BENCHMARKING THE AFORE- STATED INTERNATIONAL TRANSACTIONS. FOR THE PURPOSE OF APPLYING TNMM OPE RATING PROFIT TO TOTAL COST WAS CONSIDERED AS THE BASE TO DEMONSTRATE ITS ADHERENCE TO THE JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 4 OF 21 ARMS LENGTH PROVISIONS CONTAINED IN THE INCOME TAX ACT. ASSESSEE WAS SELECTED AS THE TESTED PARTY. OP/TC WAS TAKEN AS T HE PLI AND THE PLI IS CALCULATED AT 16.53%. THE ASSESSEE HAS TAKEN 7 COM PARABLES AND THE PLI OF THE COMPARABLES IS AT 11.35% BY TAKING 3 YEARS W EIGHTED AVERAGE AND SINCE THE MARGIN OF THE ASSESSEE IS HIGHER THAN THA T OF COMPARABLES THE INTERNATIONAL TRANSACTIONS ENTERED INTO WITH THE AE ARE STATED TO BE AT ARMS LENGTH. 7. DURING THE TRANSFER PRICING ASSESSMENT PROCEEDIN GS THE TPO SINGLED OUT BUSINESS SERVICE CHARGES PAID TO THE AE AMOUNTI NG TO RS. 10.53 CRORES AND ISSUED A SHOW-CAUSE NOTICE WHICH READ AS UNDER: - BUSINESS SERVICE CHARGES PAID TO THE AE : IT IS SEEN FROM THE DETAILS OF INTERNATIONAL TRANSA CTIONS MENTIONED IN THE TP REPORT THAT THE ASSESSEE HAS MA DE CERTAIN PAYMENT TO ITS AE UNDER THE FOLLOWING HEADS : AVAILING OF BUSINESS SERVICES; CHARGES PAID 10.53 CRORES IN THIS REGARD A SHOW-CAUSE NOTICE DATED 29.09.2010 WAS ISSUED TO THE ASSESSEE THE RELEVANT PORTION OF WHI CH IS REPRODUCED BELOW: [QUOTE] IN CONTINUATION OF THE PROCEEDINGS SO FAR IT MAY ALSO BE RECALLED THAT YOU HAD SUBMITTED CERTAIN DETAILS REG ARDING RECEIPT OF THIS SERVICES FROM YOUR AE. IN THIS CON NECTION PLEASE SUBMIT THE FOLLOWING: 1. IDENTITY EACH OF THE SERVICES ACTUALLY RECEIVED BY YOU FROM THE AES FOR WHICH THE AMOUNT HAS BEEN JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 5 OF 21 PAID. 2. PLEASE SUBMIT THE CONTEMPORANEOUS DOCUMENTARY EVIDENCE TO SHOW THAT THESE SERVICES HAVE ACTUALLY BEEN RECEIVED BY YOU. 3. PLEASE STATE THE DETAILS OF PAYMENT MADE BY YOU FOR EACH OF THE AVAILED SERVICES. 4. PLEASE FURNISH THE COPY OF ACCOUNT OF THE AES (PROVIDING THE SERVICES) IN YOUR BOOKS OF ACCOUNTS AND YOUR COPY OF ACCOUNTS IN THE BOOKS OF AES (PROVIDING THE SERVICES). 5. HOW THE PAYMENT HAS BEEN QUANTIFIED? ALSO PLEASE STATE AS TO WHETHER ANY COST BENEFIT ANALYSIS WAS DONE? IF SO THE DETAILS THEREOF SHOULD BE FURNISHED. THE COST BENEFIT ANALYSIS SHOULD BE (A) WITH REFERENCE TO THE COST OF THE SERVICES AND BENEFIT RECEIVED THERE FROM AND (B) SERVICES RECEIVED FROM AES VIS A VIS INDEPENDENT PARTIES. 6. WHETHER ANY SUCH SERVICES HAVE BEEN AVAILED FROM INDEPENDENT PARTIES? IF YES THE DETAILS OF SUCH EXPENDITURE MAY BE FURNISHED. 7. FURNISH THE COPY OF AGREEMENTS WITH AES FOR RECEIVING SUCH SERVICES. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 6 OF 21 8. PLEASE STATE AS TO WHAT TANGIBLE AND DIRECT BENEFIT HAS BEEN DERIVED BY YOU. 9. DOCUMENTARY EVIDENCE OF COST INCURRED BY THE AE FOR RENDERING EACH TYPE OF SERVICES PURPORTEDLY RECEIVED BY YOU AND THE MARK UP APPLIED IF ANY BY THE AE. 10. WHETHER AE IS RENDERING SUCH SERVICES TO ANY OTHER AES/INDEPENDENT PARTIES. IF YES THE DETAILS THEREOF. WHETHER SUCH PAYMENTS ARE PAID BY ANY INDEPENDENT CONCERN OR ENTITY IN ANY OTHER COUNTRY THROUGH WHICH JONES LANG LASALLE/AE GROUP CARRIES ON SIMILAR BUSINESS AS THAT OF YOU. IF YES COPIES OF THE AGREEMENTS FOR SUCH SERVICES AND ALSO THE BASIS ON WHICH SUCH PAYMENTS ARE PAID. 11. IF THE AE HAS RENDERED SERVICES TO MORE THAN ONE ENTITIES INCLUDING YOU THEN THE BASIS OF ALLOCATION AMONGST VARIOUS ENTITIES. ALSO FURNISH THE BASIS OF CHOOSING A PARTICULAR ALLOCATION KEY. PLEASE NOTE THAT IN THE EVENT OF YOUR BEING UNABLE TO PROVIDE THESE DETAILS IN A SATISFACTORY MANNER THE ARMS L ENGTH PRICE IN RESPECT OF ALL THESE TRANSACTION AMOUNTING TO RS. 10.53 CRORES SHALL BE REDUCED TO NIL. 8. THE ASSESSEE FURNISHED A DETAILED REPLY DATED 11 .10.2010 THE MAIN OBJECTIONS READ AS UNDER: JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 7 OF 21 [UNQUOTE] THE ASSESSEE HAS SUBMITTED ITS REPLY DATED 11.10.20 10. THE MAIN OBJECTION OF THE ASSESSEE REGARDING BENCHMARKI NG IS: FOR ASCERTAINING THE ARMS LENGTH CHARACTER OF THE INTERNATIONAL TRANSACTION OF RECEIPT OF BUSINESS SERVICES THE ASSESSEE HAS AGGREGATED THIS TRANSACT ION WITH ITS PROPERTY MANAGEMENT ADVISORY AND BROKERAGE SERVICES AND CARRIED OUT THE ECONOMIC ANALYSIS ON T HE BASIS OF COMPANY AS A WHOLE APPROACH UNDER THE TRANSACTIONAL NET MARGIN METHOD (TNMM). SINCE THE NET COST PLUS MARKUP (NCP) EARNED BY THE ASSESSEE FROM ITS OPERATIONS DURING FY 2006-07 AFTER CONSIDERING THE PAYMENT FOR BUSINESS SERVICES IS COMPARABLE TO THE NCP OF COMPARABLE COMPANIES THE TRANSACTION OF RECEIPT OF BUSINESS SERVICES HAS BEE N REGARDED TO BE COMPLAINT WITH THE ARMS LENGTH STANDARD FROM AN INDIAN TRANSFER PRICING REGULATION S PERSPECTIVE. THE ASSESSEE HAS SELECTED THE TNMM AS THE MOST APPROPRIATE METHOD (MAM) TO JUSTIFY THE PRINCIPAL FUNCTION OF PROPERTY MANAGEMENT ADVISORY AND BROKERAGE SERVICES. THE MAM HAS BEEN SELECTED KEEPING IN VIEW THE PROVISIONS OF RULE 10C OF THE RULES. 9. THE REPLY OF THE ASSESSEE DID NOT FIND ANY FAVOU R WITH THE AO WHO WAS OF THE OPINION THAT THE AGGREGATION APPROACH AD OPTED BY THE ASSESSEE IS NOT ACCEPTABLE. THE TPO FURTHER DISMIS SED THE CONTENTION OF JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 8 OF 21 THE ASSESSEE THAT THE MARGINS EARNED BY IT JUSTIFY THE BUSINESS SERVICE PAYMENT. 10. THE TPO WAS OF THE FIRM BELIEF THAT AS PAYMENT OF BUSINESS SERVICE IS A CLASS OF TRANSACTION OF ITS OWN IT REQUIRES SE PARATE ANALYSIS. THE TPO PROCEEDED BY ANALYZING BUSINESS SERVICE TRANSACTION SEPARATELY UNDER CUP METHOD. 11. THE TPO THEN ANALYZED THE BUSINESS SERVICE TRAN SACTION BY DISCUSSING EACH OF THE SERVICES AFTER CONSIDERING T HE CONTENTION OF THE ASSESSEE AS UNDER: LET US NOW PROCEED TO DISCUSS EACH OF THE SERVICES SAID TO BE RECEIVED SEPARATELY. THE MAIN CONTENTIONS OF THE A SSESSEE ARE AS UNDER: 1. JLL INDIA HAS ENTERED INTO AN AGREEMENT WITH JONES LANG LASALLE PROPERTY CONSULTANTS PTE. LIMITED SINGAPORE (JLL SINGAPORE) FOR THE RECEIPT OF BUSI NESS SUPPORT SERVICES. JLL GROUP HAS A REGIONAL HEADQUA RTER IN SINGAPORE FOR THE ASIA PACIFIC REGION. 2. DURING AY 2007-08 JLL INDIA HAD REQUESTED JLL SINGAPORE TO PROVIDE VARIOUS SERVICES INCLUDING HUM AN RESOURCE SERVICES. INFORMATION TECHNOLOGY SERVICES LEGAL & COMPLIANCE SERVICES. MARKETING & COMMUNICATION SERVICES. STRATEGY IMPLEMENTATION SERVICES. HOTEL SERVICES. TAX SERVICES AND RESEAR CH SERVICES. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 9 OF 21 3. HUMAN RESOURCE SERVICES: JLL INDIA APPROACHED JLL SINGAPORE FOR ASSISTANCE ON RECRUITMENT SELECTION DEVELOPMENT EFFICIENT UTILIZATION OF RESOURCES COMPENSATION AND MOTIVATION OF HUMAN RESOURCES BY THE ORGANIZATION AS IT WAS NECESSARY TO ENSURE THE HIRING OF QUALIFIED PERSONNEL THE MOTIVATION AND DEVELOPM ENT OF EXISTING TALENT THE MAINTENANCE OF GOOD WORKING RELATIONS BETWEEN EMPLOYEE-EMPLOYER AND CLIENTS AND CONFLICT RESOLUTIONS. 4. IT SERVICES: THE BUSINESS LEADERS OF JLL INDIA SAW THE INCREASING NEED FOR A PROPER INFRASTRUCTURE TO MANA GE THE NEEDS OF A FAST EXPANDING BUSINESS CUSTOMERS EMPLOYEES VENDORS SUPPLIERS INFORMATION DATA E TC. THESE INCLUDE THE USE OF COMPUTERS AND SOFTWARE TO MANAGE INFORMATION STORE INFORMATION PROTECT INFORMATION PROCESS THE INFORMATION TRANSMIT THE INFORMATION AS NECESSARY AND LATER RETRIEVE INFORMATION AS NECESSARY. 5. LEGAL AND COMPLIANCE SERVICES: WITH THE INCREASED COMPLEXITY OF DOING BUSINESS CONTRIBUTED BY COMPETITION AND CHANGES IN REGULATIONS THE LEADERS OF JLL INDIA NEEDED TO ENSURE THAT IT IS SHOWING SOUND JUDGMENT ON LEGAL RISK MANAGEMENT THAT IT IS SAVIN G MONEY THROUGH RETAINING RISK WHERE IT IS CONSIDERED PRUDENT TO DO SO AND THAT IT IS REDUCING THE CHANC ES OF A MAJOR SURPRISE CAUSING DAMAGE. IN ADDITION WE N EED TO HAVE COMFORT THAT ALL TRANSACTIONS ARE LEGAL ET HICAL AND ARE IN THE BEST INTERESTS OF JLL INDIA. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 10 OF 21 JLL INDIA WAS PRIMARILY GIVEN ASSISTANCE IN NEGOTIA TING AND REVIEWING DOCUMENTS AND CONTRACTS AND TO A LES SER EXTENT IT GOT ASSISTANCE IN HANDLING DISPUTES/LITI GATION. 6. OPERATING COORDINATION AND STRATEGY IMPLEMENTATION SERVICES: THE CLIENT BASE IN JLL INDIA INCLUDES MANY CLIENTS AND PROSPECTIVE CLIENTS WHICH ARE INTERNATI ONAL COMPANIES AND REAL ESTATE INVESTORS OWNERS AND OPERATORS. IN ORDER TO PROVIDE THE BEST QUALITY SE RVICE AND WORK JLL INDIA SOUGHT OUT THE EXPERIENCE AND EXPERTISE OF THE REGIONAL SERVICE GROUPS OF JLL SINGAPORE FOR ADVICE ASSISTANCE TO PROVIDE THE NEED ED WORK TO BEST SERVE ALL TYPES OF CLIENTS. 7. FINANCIAL ACCOUNTING ADVISORY SERVICES: JLL INDIA HAS REQUESTED JLL SINGAPORE IN PROVIDING FINANCIAL ACCOUNTING ADVISORY SERVICES. 8. RESEARCH SERVICES: JLL SINGAPORE PROVIDES RESEARCH SERVICES ON THE REQUIREMENTS OF JLL INDIA AFTER BAN KING ON A TEAM OF RESEARCHERS WHO BRING TOGETHER DATA FR OM OVER 30 CITIES ALLOWING AN UNPARALLELED DEPTH OF ANALYSIS THAT SPANS THE WHOLE PROPERTY SPECTRUM INCLUDING ECONOMICS ECONOMETRICS FINANCE PLANNIN G AND VALUATION. 9. TAX SERVICES: THE ASSESSEE REALIZED THAT WERE FACING MANY QUERIES FROM OUTSIDE INDIA FOR INVESTMENTS CO STS OF DOING BUSINESS IN INDIA CROSS-BORDER PAYMENTS A ND REMITTANCES OUT OF INDIA. 12. THE AFORE-STATED CONTENTIONS OF THE ASSESSEE WE RE ALSO DISMISSED BY THE TPO WHO WAS OF THE FIRM BELIEF THAT THE ASSE SSEE HAS NOT BEEN JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 11 OF 21 ABLE TO SUBSTANTIATE THAT THE PAYMENT OF BUSINESS S ERVICES HAS ACTUALLY INCREASED THE PROFIT OF THE ASSESSEE. THE TPO FURT HER OBSERVED THAT THE BASIS OF INDIRECT CHARGE ALSO NOT ANSWERED THE BENE FIT TEST. ACCORDING TO THE TPO THE ASSESSEE CANNOT ESCAPE ITS RESPONSIBILI TY OF HAVING TO SHOW THE ACTUAL BENEFIT IT HAS RECEIVED AND NO INDEPENDE NT PARTY WOULD MAKE SUCH PAYMENT IN SIMILAR CIRCUMSTANCES. 13. THE TPO FURTHER OBSERVED THAT IN ORDER TO EXAMI NE THE ARMS LENGTH PRICE OF INTRA GROUP SERVICES RECEIVED BY ON E OF THE AE FOLLOWING ESSENTIAL INFORMATION SHOULD BE AVAILABLE: 1. WHETHER THE AE HAS RECEIVED INTRA GROUP SERVICES? 2. WHAT ARE THE ECONOMIC AND COMMERCIAL BENEFITS DERIV ED BY THE RECIPIENT OF INTRA GROUP SERVICES? 3. IN ORDER TO IDENTIFY THE CHARGES RELATING TO SERVIC ES THERE SHOULD BE A MECHANISM IN PLACE WHICH CAN IDENTIFY ( I) THE COST INCURRED BY THE AE IN PROVIDING THE INTRA GROUP SER VICES AND (II) THE BASIS OF ALLOCATION OF COST TO VARIOUS AES. 4. WHETHER A COMPARABLE INDEPENDENT ENTERPRISE WOULD H AVE PAID FOR THE SERVICES IN COMPARABLE CIRCUMSTANCES? 14. AFTER MAKING OBSERVATIONS AS MENTIONED HEREINAB OVE THE TPO WAS OF THE OPINION THAT THE ASSESSEE HAS NOT BEEN ABLE TO PROVE THAT IT HAS ACTUALLY RECEIVED SERVICES OF SOME VALUE THAT CALL FOR SUCH A HUGE PAYMENT. THE TPO OBSERVED THAT THE EVIDENCES FURNI SHED BY THE ASSESSEE ARE ONLY BROCHURE TYPE EVIDENCE. NO INDEP ENDENT PARTY WOULD JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 12 OF 21 BE PAID FOR SUCH SERVICES IN AN UNCONTROLLED ENVIRO NMENT. THE TPO OPINED THAT THE ASSESSEE HAS NOT EVEN SUBMITTED THE BASIS OF QUANTIFICATION OF THESE CHARGES. NO INVOICES HAVE EITHER BEEN SUBMITTED OR PRODUCED FOR VERIFICATION DURING THE TP AUDIT HE ARING PROCEEDINGS. 15. THE TPO CONCLUDED BY HOLDING THAT THE ASSESSEE HAS NOT BEEN ABLE TO SHOW THAT ANY TANGIBLE BENEFIT HAS PASSED TO IT FOLLOWING THE PAYMENT OF THESE BUSINESS SERVICE CHARGES. 16. SINCE ACCORDING TO THE TPO THE ASSESSEE HAS NO T BEEN ABLE TO DEMONSTRATE THAT AN INDEPENDENT PARTY WOULD HAVE MA DE A PAYMENT OF RS. 10.53 CRORES FOR BUSINESS SERVICES THEREFORE BY THE APPLICATION OF CUP THE ARMS LENGTH PRICE IN RESPECT OF THIS TRANS ACTION IS DETERMINED AT NIL. ACCORDINGLY ADDITION OF RS. 10 53 11 989/- WAS MADE. 17. OBJECTIONS WERE RAISED BEFORE THE DRP BUT WITHO UT ANY SUCCESS. 18. BEFORE US THE COUNSEL FOR THE ASSESSEE VEHEMEN TLY STATED THAT THE TPO AS WELL AS THE DRP GROSSLY ERRED IN ANALYZING T HE INTERNATIONAL TRANSACTION IN THE LIGHT OF THE BENEFIT TEST. IT I S THE SAY OF THE COUNSEL THAT THE TPO CANNOT QUESTION THE BENEFITS DERIVED B Y AN INTERNATIONAL TRANSACTION. ALL THAT IS REQUIRED IS TO DETERMINE THE ARMS LENGTH PRICE AND MAKE ADJUSTMENTS IF REQUIRED. BY DISALLOWING T HE ENTIRE BUSINESS SERVICE CHARGES THE ORDER OF THE TPO IS NOT ONLY ER RONEOUS BUT BAD IN JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 13 OF 21 LAW. THE COUNSEL FURTHER STATED THAT TNMM IS THE M OST APPROPRIATE METHOD IN SUCH A SCENARIO AND SINCE THE MARGIN OF THE ASSESSEE IS MUCH HIGHER THAN OF THE COMPARABLES NO ADJUSTMENT WAS R EQUIRED. 19. IN ALTERNATIVE THE COUNSEL STATED THAT THE ASSE SSEE HAS AMPLE OF EVIDENCES TO DEMONSTRATE THAT THE BUSINESS SERVICES WERE ACTUALLY RENDERED BY THE AES. THE COUNSEL FURNISHED VOLUMES OF PAPER BOOK WHICH RUN INTO PAGES 1 TO 2188. 20. PER CONTRA THE DR STRONGLY SUPPORTED THE FINDI NGS OF THE TPO. IT IS THE SAY OF THE DR THAT THE HONBLE HIGH COURT OF DE LHI IN THE CASE OF SONY ERICSSON MOBILE COMMUNICATION 374 ITR 118 HAS HELD THAT WHEN THE AO/TPO ACCEPTS THE COMPARABLES ADOPTED BY THE ASSES SEE AS A BUNDLED TRANSACTION THEN ANY ITEM OF EXPENDITURE SHOULD NOT BE TAKEN OUT. IT IS THE SAY OF THE DR THAT SINCE IN THE CASE IN HAND TH E TPO HAS NOT ACCEPTED THE AGGREGATE APPROACH THEN IT IS CORRECT TO TREAT THE BUSINESS SERVICE CHARGES AS A SEPARATE TRANSACTION FOR BENCHMARKING SEPARATELY. THE DR FURTHER CONTENDED THAT IT IS INCUMBENT UPON THE ASS ESSEE TO DEMONSTRATE THE RENDITION OF SERVICES BY SUPPORTING EVIDENCES. 21. WE HAVE GIVEN A THOUGHTFUL CONSIDERATION TO THE ORDERS OF THE AUTHORITIES BELOW. AT THE VERY OUTSET WE DO NOT A CCEPT THE MAIN CONTENTION OF THE TPO THAT THE ASSESSEE HAS NOT DER IVED ANY BENEFIT FROM THE IMPUGNED TRANSACTION. FOR THIS PROPOSITION WE DRAW SUPPORT FROM JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 14 OF 21 THE DECISION OF THE HONBLE DELHI HIGH COURT IN THE CASE OF EKL APPLIANCES 345 ITR 241 WHEREIN THE HONBLE HIGH CO URT HAS HELD THAT THE ONLY CONDITION IS THAT THE EXPENDITURE SHOULD HAVE BEEN INCURRED WHOLLY AND EXCLUSIVELY FOR THE PURPOSE OF BUSINESS AND NOTHING MORE. THE HONBLE HIGH COURT FURTHER OBSERVED THAT SO LO NG AS THE EXPENDITURE OR PAYMENT HAS BEEN DEMONSTRATED TO HAVE BEEN INCUR RED OR LAID OUT FOR THE PURPOSES OF BUSINESS IT IS NO CONCERN OF THE T PO TO DISALLOW THE SAME ON ANY EXTRANEOUS REASONING. AS PROVIDED IN THE OE CD GUIDELINES HE IS EXPECTED TO EXAMINE THE INTERNATIONAL TRANSACTION A S HE ACTUALLY FINDS THE SAME AND THEN MAKE SUITABLE ADJUSTMENT BUT A WH OLESOME DISALLOWANCE OF THE EXPENDITURE PARTICULARLY ON TH E GROUNDS WHICH HAVE BEEN GIVEN BY THE TPO IS NOT CONTEMPLATED OR AUTHOR IZED. 22. RESPECTFULLY FOLLOWING THE DECISION OF THE HON BLE DELHI HIGH COURT (SUPRA) WE DISMISS THE CONTENTIONS OF THE TPO THAT THE ASSESSEE HAS FAILED TO DEMONSTRATE ANY BENEFIT DERIVED FROM THE BUSINESS SERVICE CHARGES TRANSACTION. 23. AS MENTIONED ELSEWHERE THE ONLY THING WHICH IS NEEDED TO BE PROVED IS THE RENDITION OF THE SERVICES. AS MENTIO NED ELSEWHERE THE ASSESSEE HAS FURNISHED DOCUMENTS RUNNING UPTO 2188 PAGES TO DEMONSTRATE THAT IT HAS ACTUALLY RECEIVED THE SERVI CES FROM ITS AE WHICH ARE SUPPORTED BY DOCUMENTARY EVIDENCES. IN OUR CON SIDERED OPINION JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 15 OF 21 THESE DOCUMENTS NEED TO BE VERIFIED BY THE TPO. WE ACCORDINGLY SET ASIDE THE ISSUE TO THE FILES OF THE TPO. THE ASSES SEE IS DIRECTED TO FURNISH ALL THE SUPPORTING EVIDENCES AND THE TPO IS DIRECTED TO EXAMINE THE SAME AND DECIDE THE ISSUE AFRESH DEHORS BENEFIT TEST AFTER GIVING A REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESS EE. GROUND NO. 1 WITH ITS SUB GROUND IS ALLOWED FOR STATISTICAL PURP OSE. 24. GROUND NO. 2 RELATES TO THE ADDITION ON ACCOUNT OF DEPRECIATION ON UPS. 25. DURING THE COURSE OF SCRUTINY ASSESSMENT PROCEE DINGS THE AO NOTICED THAT THE ASSESSEE HAS CLAIMED DEPRECIATION @ 60% ON COMPUTER PERIPHERALS WHICH DO NOT COME UNDER THE DEFINITION OF COMPUTERS. THE ASSESSEE WAS ASKED TO JUSTIFY ITS CLAIM OF DEPRECIA TION @ 60% ON UPS. THE ASSESSEE FILED A DETAILED REPLY IN SUPPORT OF I TS CLAIM BUT THE SAME WAS REJECTED BY THE AO WHO WAS OF THE OPINION THAT UPS IS ONLY AN ALTERNATIVE POWER SUPPLY AND A COMPUTER SYSTEM CAN FUNCTION WITHOUT UPS AND UPS CAN BE USED TO ENSURE UNINTERRUPTED POW ER SUPPLY TO OTHER ELECTRONIC EQUIPMENT. ACCORDINGLY DEPRECIATION @ 15% WAS ALLOWED AND ADDITION OF RS. 4 23 000/- WAS MADE. 26. OBJECTIONS WERE RAISED BEFORE THE DRP BUT WITHO UT ANY SUCCESS. BEFORE US THE COUNSEL FOR THE ASSESSEE REITERATED WHAT HAS BEEN STATED BEFORE THE LOWER AUTHORITIES. THE DR SUPPORTED THE FINDINGS OF THE TPO. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 16 OF 21 27. WE HAVE CAREFULLY CONSIDERED THE ORDERS OF THE AUTHORITIES BELOW. IN OUR CONSIDERED OPINION IN A HOST OF JUDICIAL DE CISIONS IT HAS BEEN HELD THAT UPS IS ALSO ONE OF THE COMPUTER PERIPHERALS EL IGIBLE FOR DEPRECIATION @ 60%. TO NAME A FEW JUDICIAL DECISIONS PENTAIR WA TER INDIA PVT. LIMITED VS. ADDL. CIT (2014) 47 TAXMANN.COM 132 (PA NJI) MACAWBER ENGINEERING SYSTEM (I) (P) LIMITED VS. ACIT (2013) 33 TAXMANN.COM 587 (MUM.) AND GOA TOURISM DEVELOPMENT LIMITED 102 TAXM ANN.COM 437 (BOM.). INCIDENTALLY IT WILL NOT BE OUT OF PLACE TO MENTION HERE THAT IN AY 2008-09 THE DRP ALLOWED THE CLAIM OF DEPRECIATIO N @ 60% BY RELYING UPON THE DECISION OF THE HONBLE DELHI HIGH COURT I N THE CASE OF CITY CORP. MARUTI FINANCE LIMITED IN ITA NO. 1712 & 1714 /2010 AND THE REVENUE HAS ACCEPTED THIS FINDING OF THE DRP. 28. CONSIDERING THE JUDICIAL DECISIONS DISCUSSED HE REINABOVE WE DIRECT THE AO TO ALLOW DEPRECIATION @ 60%. GROUND NO. 2 I S ACCORDINGLY ALLOWED. 29. GROUND NO. 3 RELATES TO THE CLAIM OF BAD DEBTS WRITTEN OFF AMOUNTING TO RS. 64 27 276/-. 30. DURING THE COURSE OF THE SCRUTINY ASSESSMENT PR OCEEDINGS VIDE SUBMISSION DATED 07.12.2010 THE ASSESSEE CLAIMED WR ITE OFF OF BAD DEBTS AMOUNTING TO RS. 64 27 276/-. THIS CLAIM WAS DENIE D BY THE AO WHO WAS JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 17 OF 21 OF THE FIRM BELIEF THAT THE CLAIM SHOULD HAVE BEEN MADE BY A REVISED RETURN OF INCOME. APPLYING THE RATIO LAID DOWN BY THE HONBLE SUPREME COURT IN THE CASE OF GOETZ INDIA PVT. LIMITED 284 I TR 323. THE AO DISMISSED THE CLAIM. 31. THE MATTER WAS REITERATED BEFORE THE DRP BUT WI THOUT ANY SUCCESS. 32. BEFORE US THE COUNSEL FOR THE ASSESSEE REITERA TED THE CLAIM OF BAD DEBTS STATING THAT IT HAS ACTUALLY BEEN WRITTEN OFF AND SHOULD BE ALLOWED. PER CONTRA THE DR STRONGLY SUPPORTED THE FINDINGS OF THE AO. 33. WE HAVE CAREFULLY CONSIDERED THE ORDERS OF THE AUTHORITIES BELOW. IT IS TRUE THAT THE CLAIM OF WRITE OFF OF BAD DEBTS WAS MADE DURING THE ASSESSMENT PROCEEDINGS WITHOUT FILING A REVISED RET URN OF INCOME. IT IS EQUALLY TRUE THAT THE RATIO LAID DOWN BY THE HONBL E SUPREME COURT IN THE CASE OF GOETZ INDIA PVT. LIMITED DO NOT PUT ANY FETTER ON THE APPELLATE AUTHORITY TO ENTERTAIN A CLAIM. WE ACCO RDINGLY RESTORE THE ISSUE TO THE FILES OF THE AO. THE ASSESSEE IS DIRE CTED TO DEMONSTRATE ITS CLAIM OF WRITE OFF OF BAD DEBTS IN THE LIGHT OF THE PROVISIONS OF SEC. 36(2) OF THE ACT AND THE AO IS DIRECTED TO EXAMINE THE CL AIM AND DECIDE THE ISSUE AFRESH AS PER THE PROVISIONS OF LAW AFTER GIV ING A REASONABLE OPPORTUNITY OF BEING HEARD TO THE ASSESSEE. GROUND NO. 3 IS TREATED AS ALLOWED FOR STATISTICAL PURPOSE. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 18 OF 21 34. IN THE RESULT ITA NO. 5584/DEL/2011 IS ALLOWED IN PART FOR STATISTICAL PURPOSES. ITA NO. 6465/DEL/2012 AY 2008-09 : - 35. GROUND NO. 1 RELATES TO THE TRANSFER PRICING AD DITION AMOUNTING TO RS. 33 02 23 195/- IN RESPECT OF BUSINESS SERVICE C HARGES. 36. THIS ISSUE HAS BEEN DISCUSSED AT LENGTH BY US I N ITA NO. 5584/DEL/2011 (SUPRA). 37. THE ONLY DISTINGUISHING FACTOR WHICH WE HAVE FO UND DURING THIS ASSESSMENT YEAR IS THAT THE TPO HIMSELF HAS ADOPTED AN AGGREGATED APPROACH FOR BENCHMARKING THIS TRANSACTION UNDER TN MM WHEREAS IN AY 2007-08 AS DISCUSSED ELSEWHERE THE TPO HAS ADOPTED A SEGREGATED APPROACH BY TAKING CUP AT NIL. 38. WITHOUT GOING INTO THE MERITS OF THE TRANSFER P RICING ASSESSMENT WE ARE OF THE CONSIDERED VIEW THAT ONCE WE HAVE TAK EN A VIEW AND EXPLAINED IN DETAIL WHILE DECIDING THIS ISSUE IN IT A NO. 5584/DEL/2011 (SUPRA) WE DIRECT THE TPO TO ADOPT THE SAME APPROA CH FOR THIS YEAR ALSO IN THE SAME LINE AFTER VERIFYING THE EVIDENCES TO B E VERIFIED AS MENTIONED IN AY 2007-08. WITH SIMILAR DIRECTIONS AS GIVEN IN AY 2007-08 GROUND NO. 1 IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 19 OF 21 39. GROUND NO. 2 RELATES TO THE ADDITION OF RS. 9 2 63/- MADE U/S 14A READ WITH RULE 8D. 40. FOR THE SMALLNESS OF THE AMOUNT THE COUNSEL DID NOT PRESS THIS GROUND AND THE SAME IS DISMISSED AS NOT PRESSED. 41. IN THE RESULT THE APPEAL IS PARTLY ALLOWED FOR STATISTICAL PURPOSES. ITA NO. 1648/DEL/2014 AY 2009-10 : 42. GROUND NO. 1 TO 4 RELATE TO THE TRANSFER PRICIN G ADDITIONS ON ACCOUNT OF BUSINESS SERVICE CHARGES PAYMENT AMOUNTI NG TO RS. 22 87 53 985/-. 43. WE HAVE DISCUSSED AND DECIDED THIS ISSUE IN DET AIL IN AY 2007-08 IN ITA NO. 5584/DEL/2011 (SUPRA). THE TPO IS DIRECTED TO DECIDE THIS ISSUE IN LINE WITH OUR DIRECTIONS GIVEN IN AY 2007-08 AFT ER GIVING A REASONABLE AND FAIR OPPORTUNITY OF BEING HEARD TO THE ASSESSEE . GROUND NOS. 1 TO 4 ARE TREATED AS ALLOWED FOR STATISTICAL PURPOSES. 44. GROUND NO. 5 RELATES TO THE DISALLOWANCE OF RS. 18 618/- MADE U/S 14A READ WITH RULE 8D. 45. FOR THE SMALLNESS OF THE AMOUNT THE COUNSEL DID NOT PRESS THIS GROUND AND THE SAME IS DISMISSED AS NOT PRESSED. JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 20 OF 21 46. THE OTHER GROUNDS RELATE TO NON GRANT OF TDS CR EDIT LEVY OF INTEREST U/S 234D ETC. 47. THE AO IS DIRECTED TO GRANT TDS CREDIT AS PER T HE EVIDENCE FURNISHED BY THE ASSESSEE AND CHARGE INTEREST AS PE R THE PROVISIONS OF LAW. 48. IN THE RESULT THE APPEAL IS PARTLY ALLOWED. THE ORDER PRONOUNCED IN THE OPEN COURT ON 22.11.201 9 SD/- SD/- (KULDIP SINGH) (N.K. BILLAIYA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 22 ND NOVEMBER 2019 * KAVITA ARORA SR. PS COPY OF ORDER SENT TO- ASSESSEE/AO/PR. CIT/ CIT (A) / ITAT (DR)/GUARD FILE OF ITAT. BY ORDER ASSISTANT REGISTRAR ITAT: DELHI BENCHES-DELHI JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT / I.T.A.NO.5584/DEL/2011/A.Y.2007-0 8 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. ACIT/I.T.A. NO. 6465/DEL/2012/A.Y. 2008- 09 JONES LANG LASALLE PROPERTY CONSULTANTS (INDIA) PVT . LTD. VS. DCIT/I.T.A. NO. 1648/DEL/2014/A.Y. 2009- 10 PAGE 21 OF 21