The Board of directors of the assessee company passed a resolution waiving interest on CCDs considering the slowdown in real estate sector.   The AO held that since assessee was following mercantile system of accounting and as per terms and conditions of CCDs, interest at rate of 12 per cent per annum was payable to assessee, interest income had accrued to assessee and determination of arm’s length price of interest income had to be made . On appeal the Tribunal held that addition made on account of transfer pricing adjustment was unsustainable as assessee had actually not received any interest income and hence, it would be protected by article 11(1) and treaty provision being more beneficial to assessee as per section 90(1), will override all other provisions of Act. (AY. 2008-09, 2011-12, 2012-13)