Tribunal held that the business of assessee is manufacturing and distributing products of consumer electronics and home appliances category therefore company providing an online marketing platform for sale of electronic products of multiple brands, designing and manufacturing of only mobile phones, having brand owning and outsourcing its manufacturing activities to third party contractors could not be accepted as a valid comparable-Would not be accepted as a valid comparable. As regards other issues matter was remanded to the Assessing Officer. (AY. 2013-14)
Samsung India Electronics (P.) Ltd. v. ACIT (2021) 188 ITD 425 (Delhi)(Trib.)
S. 92C : Transfer pricing-Arm’s length price-Functional similarity-Business of manufacturing and distributing products of consumer electronics and home appliances category-Providing an online marketing platform for sale of electronic products of multiple brands-Designing and manufacturing of only mobile phones-Having brand owning and outsourcing its manufacturing activities to third party contractors could not be accepted as a valid comparable-Would not be accepted as a valid comparable.