Separate Benches For “International Taxation & Transfer Pricing” Cases In ITAT

In order to dispose of the pending appeals relating to International Taxation and Transfer Pricing matters generally involving high stakes, a Committee was constituted to offer suggestions. After elaborate discussion and deliberations among the participants and keeping in view the suggestions made by the representatives of the assesses and the department, the Committee decided to take certain steps. The recommendations offered by the said Committee have been approved by the Hon’ble President vide letter dated 6th September 2012 and all Benches have been requested to implement the same scrupulously:


The recommendations made by the Committee, as approved by the Hon’ble President, are the following:

1. Separate Benches to be Constituted for disposing of appeal involving International Taxation and Transfer Pricing issues at different stations where number of such appeals pending is large. To start with, such Benches to be constitution at the following stations.

Mumbai: Three Benches (J, K and L)
Delhi: Two Benches
Bangalore: One Bench
Hyderabad: One Bench

2. About 10 to 15 appeals to be fixed for hearing before these Benches every day and all the parties to extend the best possible cooperation to ensure that maximum appeals are heard. Adjournments, if any, to be sought only under compelling and unavoidable circumstance and that too well in advance with intimation to other side.

3. Initially two Benches to function in Mumbai from 1st Oct. 2012 i.e. “K” Bench and ‘L” Bench and the third “J” Bench to start functioning from 01.01.2013 by which time the Department shall ensure that sufficient DRs are posted to argue the appeals fixed before these Benches. During the Period 01.10. 2012 to 31.12.2012, “K” Bench will hear only Transfer Pricing matters while “L” Bench will hear only International Taxation matter. From 01.01.2013 al the three Benches i.e. “J” “K” and “L” will hear Transfer Pricing as well as International Tax matters.

4. All other stations, namely, Delhi, Bangalore and Hyderabad, the concerned Vice-President/Senior Members will convene the meeting of representative of Department and assesses to decide the similar action plan after taking into consideration their suggestions/ problems.

5. It is decided to identify the common Transfer Pricing issues involved in many cases to that effort can be made to get the same decided either by a Division Benches or by a Special Bench, as may as thought fit. As assured by the representatives of the Bar and Department Representative. They will make combined efforts to identify such issues with mutual consent and to move appropriate applications for disposal of the cases where these issues are involved.

6. The representative of the Bar and Department Representatives have also agreed to prepare and give the list of bank cases wherein the issues decided by Special Bench in the case of Sumitomo Mitsui Banking Co are involved so that the said cases can be posted and disposed on priority basis.


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