Allowing the petition the Court held that ; If the assessee has exercised the safe harbour option under Rule 10THD(1) & the AO has not passed any order under rule 10THD(4) declaring the exercising of option to be invalid, the option is treated as valid. Thereafter, the Transfer Pricing regime does not apply & the AO has no authority to make any reference to the TPO to ascertain the arm’s length price of the assessee’s specified domestic transactions. CBDT’s circular dated 10.3.2006 could not have and does not lay down anything to the contrary. Accordingly , Reference made by the Assessing Officer to the TPO in the present case is quashed. Resultantly, the order dated 15.9.2017 passed by the TPO on such invalid reference is set aside.( Special Civil Application No.19073 of 2017, dt. 06/03/2018) ( AY. 2014-15)