{"id":62912,"date":"2026-07-30T15:52:29","date_gmt":"2026-07-30T10:22:29","guid":{"rendered":"https:\/\/itatonline.org\/digest\/fairfield-developments-ltd-v-dy-dit-2025-130-itr-211-hyd-trib-2\/"},"modified":"2026-07-30T15:52:29","modified_gmt":"2026-07-30T10:22:29","slug":"fairfield-developments-ltd-v-dy-dit-2025-130-itr-211-hyd-trib-2","status":"publish","type":"post","link":"https:\/\/itatonline.org\/digest\/fairfield-developments-ltd-v-dy-dit-2025-130-itr-211-hyd-trib-2\/","title":{"rendered":"Fairfield Developments Ltd. v. Dy. DIT (2025) 130 ITR 211 (Hyd.)(Trib.)"},"content":{"rendered":"<p>The Assessing Officer recharacterised interest paid on compulsorily convertible debentures and made a transfer pricing adjustment. The Tribunal held that compulsorily convertible debentures retain the character of debt until conversion into equity and, therefore, the Assessing Officer could not recharacterise the transaction. Benchmarking of interest at LIBOR plus 200 basis points, being consistent with the Reserve Bank of India guidelines, was upheld and the transfer pricing adjustment was deleted. (AY. 2014-15)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>S. 92C: Transfer pricing-Arm\u2019s length price-Avoidance of tax-International transaction-Interest on compulsorily convertible debentures to be benchmarked as debt till conversion-Recharacterisation not permissible-Benchmarking at Libor + 200 basis points proper and in accordance with Reserve Bank of India Guidelines. [S. 92CA] <\/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_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[21],"tags":[],"class_list":["post-62912","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-gmI","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/62912","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=62912"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/62912\/revisions"}],"predecessor-version":[{"id":62913,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/62912\/revisions\/62913"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=62912"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=62912"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=62912"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}