Held that  the costs of software development incurred by the assessee’s R&D Centre located at Pune are charged to the Parwanoo unit (eligible for deduction under s. 80-IC) without any mark-up, the AO, in principle, cannot be faulted with for determining the market price of the CD writing done by the Parwanoo unit and then transferred to the Pune unit for the purpose of arriving at the amount of eligible profit for the deduction under s. 80-IC; since several issues raised by the assessee have not been adjudicated by the CIT(A), the order is set aside and the matter is restored to his file for dealing with all such issues. AO having followed the first situation contemplated by sub-s. (8) of s. 80-1A by determining the market value of the CD writing activity done at the assessee’s Parwanoo unit (eligible business) and not the market value of the software development activity done by the R&D Centre in Pune (non-eligible business), deduction under S. 80-IC has to be restricted only to the transfer of CD writing activity of the Parwanoo unit to the Pune unit and not beyond that: entire disallowance made by the AO in respect of sales made to third parties as well cannot be upheld. AO having made reference to the TPO for determining the ALP of the SDTS of ‘sale from unit at Himachal Pradesh to unit at Pune’ and ‘allocation of common expenses from Pune unit to Himachal Pradesh unit’ and neither disputed the sales price from unit at Parwanoo to the Pune unit nor the allocation of common expenses from the Pune unit to the Parwanoo unit, whose ALP was determined by the TPO, it cannot be held that the AO lacked jurisdiction to make partial disallowance under S. 80IC vis-a-vis overpricing of the CD writing activity done by the Parwanoo unit; case is not hit by S. 92CA(4) in any manner. (AY 2012-13, 2013-14)