Category: Income-Tax Act

Archive for the ‘Income-Tax Act’ Category


ACIT v. Manaksia Ltd. (2022)97 ITR 433 (Kol) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Fee for Corporate guarantee from associated enterprise-Source of TPO for figuring out that assessee issued corporate guarantee not clear-Additions deleted by CIT (A) is justified. [S.92CA]

ACIT v. Manaksia Ltd. (2022)97 ITR 433 (Kol) (Trib)

S. 92C: Transfer pricing-Arm’s length price-Comparable uncontrolled price method-Interest earned on loan to associated enterprise-Justified in deleting addition. [S.92CA]

Agilent Technologies (International) Pvt. Ltd. v. ACIT (2022)97 ITR 326 (Delhi) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Comparables-Software development and services and Information Technology–Outsourcing model of business–Company merged with two other companies, growth of revenue increased-Not to included in the list of comparables.

Aggressive Digital Systems Pvt. Ltd v. ITO (2022)97 ITR 687 (Delhi) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Manufacture and assembly-Comparable-Company passed turnover filter but fails to pass functional analysis-Department’s appeal to remand the matter not justified and entertained-Addition was deleted [S.92CA]

Dy. CIT v. Gujarat Microwax (P) Ltd. (2022) 216 DTR 65 / 218 TTJ 432 / 142 taxmann.com 357 (Ahd)(Trib).

S. 92C : Transfer pricing-Arm’s length price-Aggregation- Aggregation is not a rule of blind application and it is to be applied in certain situations and there has to be a scientific or rational basis for adoption; unless characteristic of ‘closely-linked’ is satisfied, aggregation is not possible-Matter remanded.

Trimble Solutions India (P) Ltd. v. ITO (2022) 217 DTR 257 / 219 TTJ 659 / 141 taxmann.com 331 (Mum)(Trib).

S. 92C : Transfer pricing-Arm’s length-Commercial expediency of expenditure-No separate adjustment is required to be made.

SS Oral Hygine Products (P) Ltd. v. Dy. CIT (2022) 219 DTR 225 / 220 TTJ 939 / 145 taxmann.com 285 (Mum)(Trib)

S. 92C : Transfer pricing-Arm’s length price-Technical assistance received-Order of CIT (A) giving relief was not challenged-Addition was deleted.

McCain Foods India (P) Ltd. v. ACIT (2022) 215 DTR 148 / 218 TTJ 393 / 141 taxmann.com 164 (Delhi)(Trib)

S. 92C : Transfer pricing-Arm’s length price-Adjustmnet of management fee-Disallowed under section 40(a)(i)-Disllaowing the same for Transfer pricing adjustment will lead to taxing the same amount twice-Addition was deleted.[S. 40(a)(i), 154]

Norton Lifelock Software Solution (P) Ltd. v. ACIT (2022) 215 DTR 279 / 220 TTJ 527 / 135 taxmann.com 247 (Mum)(Trib)

S. 92C : Transfer pricing-Arm’s length price-Comparable-Negative margin-Comaprable-Segmental details relating to various segments were not available–Sale of software license-Segmental details relating to revenue earned were not discernible-Could not be selected as comparable. [S. 92CA]

A Raymood Fasteners India (P) Ltd. v. Dy. CIT (2022) 215 TTJ 228 / [2022] 134 taxmann.com 145 (Pune) (Trib)

S. 92C : Transfer pricing-Arm’s length price-Failure to place verifiable information-Justified in rejecting as tested party-Turnover filter-Difference in turnover is not substantial-Cannot be excluded-Adjustment should be restricted only to international transactions and not entity level transactions. [S. 92CA]