(Earlier known as Xansa (India) Ltd.), Circle24(2), Sea View Special Economic Zone, CR Building, IP Estate, Building No.4, Plot No.20 & 21, New Delhi. Sector135, Gautam Budh Nagar, Noida. PAN: AAACX0385L (Appellant) (Respondent) Assessee By : Shri Ajay Vohra, Sr. Advocate; Shri Neeraj Jain, Advocate; Ms Shaily Gupta, & Ms Deepika Agarwal, CAs Department By : Shri Amrendra Kumar, CIT, DR Date of Hearing : 03.11.2016 Date of Pronouncement : 04.11.2016 ORDER PER R.S. SYAL, AM: This appeal by the assessee is directed against the final assessment order dated 30.11.2015 passed by the Assessing Officer (AO) u/s 143(3) ITA No.107/Del/2016 read with section 144C of the Incometax Act, 1961 (hereinafter also called 'the Act') in relation to the assessment year 201011. 2. The first ground is general which does not require any adjudication. 3. Ground no. 3 of the appeal about the addition on account of transfer pricing adjustment amounting to Rs.22,35,90,000 in `I.T. enabled service segment' was not pressed by the ld. AR. The same, therefore, stands dismissed. 4.1. Ground nos. 4 and 6 are against the disallowance u/s 40(a)(i) of the Act of expenditure amounting to Rs.26,63,16,345/ incurred by the assessee as Management services fees on the ground that the assessee failed to deduct tax at source in terms of section 195 of the Act. 4.2. Briefly stated, the facts of this ground are that the assessee incurred an expenditure of Rs.26.63 crore as remuneration for Management services to Groupe Steria SCA (Steria France). No deduction of tax at source was made before making this payment. Invoking the provisions of Section 40(a)(i) read with section 195 of the Act, the AO disallowed 2 ITA No.107/Del/2016 this expenditure. In doing so, he noticed that the assessee's application filed before the Authority for Advance Ruling (AAR) was dismissed vide Ruling dated 2.5.2014 holding that the payment made by the assessee for the Management services provided by Groupe Steria SCA will be taxable as 'Fee for technical services' and, accordingly, the assessee is liable to withhold tax as per the provisions of section 195 of the Act. 4.3. We have heard the rival submissions and perused the relevant material on record. The ld. AR has brought to our notice that the said Ruling of the AAR was challenged by the assessee before the Hon'ble Delhi High Court. Vide order dated 28.7.2016, the Hon'ble Delhi High Court has held on the last page that: (i) the payment made by the assessee to Steria France for the management services provided by the latter cannot be taxed as 'Fees for technical services; and (ii) the said payments are not liable to withholding of tax u/s 195 of the Act. By rendering this judgment, a copy of which has been placed on record, the Hon'ble High court has vacated the Ruling of the AAR on this issue. In 3 ITA No.107/Del/2016 the given circumstances, we are of the considered opinion that the ends of justice would meet adequately if the impugned order on this issue is set aside and the matter is restored to the file of AO. We order accordingly and direct him to decide this issue afresh in consonance with the judgment of the Hon'ble Delhi High Court passed in the assessee's own case. 5.1. Ground no. 5 is against reducing the deduction u/s 10A from Rs.26,37,50,768/ as claimed by the assessee to Rs.15,41,43,089/, inter alia, by excluding the following three items of expenses claimed by the assessee from `Export turnover' alone : Telecommunication charges Rs. 1,26,919 Subsistence for onsite employees Rs. 35,58,881 Standby and callout charges Rs.6,52,43,727 Total Rs.6,89,29,527 5.2. Succinctly, the facts of this issue are that the assessee earned income from its Noida UnitIV, which is eligible for deduction u/s 10A of the Act. In the recomputation of deduction, the AO excluded 4