Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2012 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2012 (4) TMI 305 - ITAT MUMBAIAdjustment u/s 92CA(3) - providing catering services to different airlines - joint venture between IHCL at 51% stake and SATS at 49% stake – Taj Sats supplied processed food to AE's using CUP method - TPO made the adjustment to the arm's length price charged by Taj Sats to its AE after comparing the average of prices per item of meal charged to other Airlines - Held that:- the food supplied is a basket containing individual items rather than supply of the items individually. Therefore the entire transaction has to be viewed as a single transaction - A.O. was not justified in making the adjustment of ₹ 460391/-u/s 92CA(3) of the Act – in favour of assessee. Addition u/s 14A - assessee company has earned dividend income from Tata Mutual Funds claimed as exempt u/s 10(35) - A.O disallowed 10% of CFO's remuneration amounting u/s 14A of the I.T. Act relying on fact that the CFO definitely spent some time for investment decision – Held that:- since the assessee has not allocated any expenditure for earning tax free dividend income and since the disallowance made by the A.O. on adhoc basis appears to be on higher side, a reasonable disallowance of ₹ 1,50,000/-. Dis-allowance of claim of depreciation on various intangible assets grouped under the head 'Goodwill' – that the business of IHCL was acquired by the assessee as a going concern – The consideration is not paid independently for each asset or liability – Held that:- when depreciation has neither been claimed nor allowed on intangible assets in the preceding years the assessee, in our opinion, cannot be allowed to claim depreciation on intangible assets in the impugned assessment year – against assessee.
|