ITAT Allows Deduction for Business Service Charges to Associate Concern for HR Services

ACIT Vs Jones Lang Lasalle Building Operation Pvt Ltd (ITAT Delhi) Introduction The case of ACIT Vs Jones Lang Lasalle Building Operation Pvt Ltd draws attention to an essential aspect of intra-group service charges, specifically those related to HR and other support services. The crux of the ITAT’s judgement lies in acknowledging such charges as valid business expenses, thereby setting an important precedent for other corporates operating with associate concerns. Analysis In this case, the revenue challenged the decision of the CIT(A)-36, New Delhi that allowed the business service char...