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6.3 There is no doubt as per Expln. 3 to Section 10A as noted above the profits and gains derived from onsite development of computer software including services of development of software outside India is deemed to be profits and gains derived from the export of computer software outside India w.e.f. 1st April, 2001: There is no doubt the Japan branch has been opened by the appellant as per the agreement with the Japanese company to also provide onsite development service, with the approval of RBI and also noted by Noida Special Economic Zone that the appellant unit located at NSEZ has opened a new trading branch at Tokyo. Therefore, the profits derived by the appellant company from its Japan branch in reference to the onsite services provided qualify for exemption under Section 10A of the IT Act and the AO is directed to consider the same as exempt under Section 10A of the Act.