Held\u00a0 that section\u00a092B\u00a0of the Act provides for the meaning of international transactions and under the Explanation, the expression international transaction includes capital financing, include any type of long-term or short-term borrowings, purchase or sale of marketable securities or any type of advance, payments or deferred payment or receivable or any other debt arising during the course of business. Since the inclusive definition of international transaction includes the activities relating to capital financing and borrowings, new corporate guarantee transaction also falls under the category of international transactions. \u00a0That the calculation of the corporate guarantee fee at 0.5 per cent. is\u00a0 justified. The excess amount added in the hands of the assessee was to be deleted. As regards \u00a0\u00a0the claim of the assessee that the Assessing Officer\u00a0 had not granted tax credit\u00a0 the issue is restored to the Assessing Officer\u00a0 for necessary verification.(AY.2018-19)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 92B : Transfer pricing-International transaction-Arm\u2019s length price-Avoidance of tax-Corporate guarantee-International transactions-Guarantee fee at 0.5 Per Cent.is justified-Deduction of tax at source-Matter remanded to the Assessing Officer. [S.92C] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-50359","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-d6f","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/50359","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=50359"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/50359\/revisions"}],"predecessor-version":[{"id":50360,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/50359\/revisions\/50360"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=50359"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=50359"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=50359"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}