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3. The agents receive latest information regarding schedules and availabilities of worldwide participants in the AMADEUS System, and create reservation data and records which are proceeded and exported immediately into the system, while data created is simultaneously processed in the AMADEUS Data Processing Centre abroad in Erding, Germany & confirmed through creation of a record locator.

4. Every time an agent makes an air, hotel, car or other travel related booking through AMADEUS System it is measured in terms of segments. For example a ticket booking done for Delhi-Bombay-Frankfurt-Delhi for one passenger would amount to three segments - One segment for Delhi-Bombay, second for Bombay-Frankfurt and third segment for Frankfurt-Delhi. After agent creates these segments this data is received and exported to Host System Amadeus abroad through Amadeus Computers where segments/messages are immediately processed.

7. In view of the reply of the assessee the Assessing Officer referred the issue to Software Technology Park, Noida (STP for abbreviation) vide letter dated 23-2-1998 to clarify, inter alia, whether the information being sent abroad by the assessee was a "programme" or "data" and "data entry transaction". The Assistant Director (Tech) of STP vide his letter dated 26-2-1998 replied as under :--

"M/s. Amadeus (India) (P.) Ltd. is involved in Data Procession activity/ Data Entry Jobs. They have a main computer in Delhi which is connected to various travel agents in India via Satellite Links. Whenever a reservation has to be made the travel agents get connected to the Central Reservation System (CRS) at Amadeus which processes the data for its correct format. If the format is correcte the datea is sent to Germany for the availability of the tickets on a particular flight on a given date and time. Amadeus (I) (Pvt.) Ltd. is connected to their German counterpart via leased lines. The data is further processed in. Germany for the correct status of booking. The data are sent in segments. M/s Amadeus (I) (Pvt.) Ltd. bills their counterpart on basis of per segment basis. A sample copy is enclosed, also enclosed is a sample invoice. The nature of activity of M/s. Amadeus (I) (Pvt,) Ltd. is as data entry/data processing job. Data entry/Data processing is a software development as defined by Customs Notification No. 10/96 dated 17-2-1997 issued by Ministry of Finance, Deptt. of Revenue."

16. We have considered the rival submissions. The main business activity of the company is to make customers mainly travel agents/online with AMADEUS CRS System. For connectivity to Amadeus System agents are supplied with free of cost Computers Systems which are being provided by GTS. The agents are also provided with training and system usage free of charge by Amadeus India (P.) Ltd.

17. The agents receive latest information regarding schedules and availabilities of worldwide participants in the Amadeus system and create reservation data and records which are processed and exported immediately into the system, while data created is simultaneously processed in the Amadeus Data Processing Centre abroad in Erding, Germany and confirmed through creation of record locator.

The main businesslactivity of the company is to make customers (mainly travel agents) on line with AMADEUS CRS System. The agents receive latest, information regarding schedules and availability of worldwide participants in the Amadeus System and create reservation data and records which are processed and exported immediately into the system, while data created is simultaneously processed in the AMADEUS DATA Processing Centre abroad in Erding, Germany and confirmed through creation of a record locator. Every time an agent makes an air, hotel, car or other travel related booking through AMADEUS System it is measured in terms of segments. For example a ticket booking done for Delhi-Bombay-Frankfurt-Delhi for one passenger would amount to three segments - one segment for Delhi-Bombay, second for Bombay-Frankfurt and third segment for Frankfurt-Delhi. After agent creates these segments this data is received and exported to Host System Amadeus abroad through Amadeus computers where segments/messages are immediately processed."