Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


Roca Bathroom Products Pvt. Ltd. v. Dy. CIT (2022)100 ITR 65 (SN)(Chennai) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Advertisement, marketing and promotion expenditure-estimation at ad hoc figure of 1 per cent. of gross sales-Adjustment is not proper. [S.92CA]

Excellence Data Research P. Ltd. v. ACIT (2022)100 ITR 74 (Trib) (SN) (Chenai)(Trib)

S. 92C : Transfer pricing-Arm’s length price-Comparables-Functionally different-To be excluded-Tolerance range Of ±5 Per Cent. to be considered-Transaction of overdue receivables covered under capital financing is to be benchmarked separately irrespective of whether interest charged by assessee from non-associated enterprises-Rate of libor +3 Per Cent. for delayed remittances beyond allowable credit period. [S. 92CA]

Dy. CIT v. Global Wool Alliance Pvt. Ltd. (2022)100 ITR 12 (SN)(Kol.) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Purchase of raw materials-Method accepted in earlier years-Order of CIT(A) is affirmed. [S. 145]

Aquity Solutions India Pvt. Ltd. v. Dy. CIT (2022)100 ITR 15 (SN)(Mum) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Medical Transcription Services and Information Technology and Information Technology enabled Services-Receivable outstanding-Addition was deleted.

Walvoil Fluid Power India P. Ltd. v. Dy. CIT (2022)100 ITR 699 (Bang) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Abnormal raw material consumption-Directed to pass a speaking order-Comparable-Net margin method-Working capital adjustment-Allowable-Interest on external commercial borrowings-Libor + 150 basis points justified-Interest charged within range in accordance with RBI;s Master circular-Adjustment deleted. [S.92CA]

Virgo Valves and Controls Ltd. v. Dy. CIT (2022)100 ITR 264 (Mum) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Loans advanced to Associated Enterprises-Rate of interest for benchmarking foreign currency denominated loan-Libor to be taken as the basis-Not Indian prime lending rate-Pledge of shares for benefit of associated enterprise-To be benchmarked Rate at 0.5 Per Cent-Price adjustment scaled down to five Per Cent. of correct value of shares and for actual pledge period. [S.92B]

Synamedia India Pvt. Ltd. v Dy. CIT (2022)100 ITR 357 (Bang) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Comparables-Software development service provider-Matter remanded.

Softlayer Technologies Pvt. Ltd. v. ACIT (2022)100 ITR 382 (Bang) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Comaparables-Turnover filter-Turnover more than Rs. 200 Crores to be excluded-Cloud services-to be excluded-Receivable-Matter remanded.

EIT Services India Pvt. Ltd. v. Dy CIT (2022)100 ITR 490 (Bang) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Comparable–Company having huge turnover and high profit margin and owning intangible intellectual property rights-Companies to be excluded-Company satisfying export turnover-To be included-Business process outsourcing activity”-Companies to be included-Working capital adjustment-Matter remanded. [S.92D R. 10B]

Dow Chemical International P. Ltd. v. ITO (2022)100 ITR 82 (Mum)(Trib)

S. 92C : Transfer pricing-Arm’s length price-Most Appropriate Method-Matter remanded. [S. 92D]