Held that the assessee\u2019s main activity was nothing but marketing activity, whereas all the ownership of the product, the power to determine whether to accept or reject the order and the pricing was with the associated enterprise. The assessee is\u00a0 getting its percentage of the revenue from the receipts of the customers only for the marketing function. That foreign exchange gain was operating in nature as it pertained to business revenue of the assessee. It was to be considered in determining operating margin and treated as an item of operating revenue. \u00a0The Commissioner (Appeals) had not dealt with the findings of the Transfer Pricing Officer specifically as regards the actual functional profile of the assessee and had not brought out a speaking order regarding the transfer pricing study report analysis benchmarking the transactions. The Commissioner (Appeals) was not correct in holding that the grounds raised by the assessee on these issues were merely academic. The Commissioner (Appeals) is directed to\u00a0 renadjudicate as per law and give specific findings.(AY.2015-16)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 92C : Transfer pricing-Arm\u2019s length price-Avoidance of tax-International transaction-Functional analysis-Re seller-Performing marketing support service-Foreign exchange gains-Other grounds-Matter remanded to Commissioner (Appeals) for Re adjudication. [S. 251] <\/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-52552","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-dFC","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/52552","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=52552"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/52552\/revisions"}],"predecessor-version":[{"id":52553,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/52552\/revisions\/52553"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=52552"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=52552"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=52552"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}