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2018 (8) TMI 1834 - ITAT AHMEDABADTP Adjustment - Addition towards upward adjustment made under section 92CA in respect of transaction of sales of finish goods - computation of arm's length price in relation to international transactions entered into by the assessee with associated enterprise - Transaction benchmarked on TNMM basis - HELD THAT:- The comparison has to be based on real transactions of similar nature, if at all such transactions have taken place. When no such transactions have taken place, as is the case before us, there is obviously no occasion of any comparison. The stand taken by the DR therefore, is not only quite detached from commercial reality but also wholly untenable in law. In any case, what can be examined on the touchstone of arm's length principles is the commercial transaction itself, as a result of which the debit balance has come into existence, and the terms and conditions, including terms of payment, on which the said commercial transaction has been entered into. In this view of the matter DR's reliance on Aztec decision [2007 (7) TMI 50 - ITAT BANGALORE] is of no assistance to the case of the revenue. The international transaction is exports of goods which has been benchmarked on TNMM basis and which is duly accepted by the TPO. In view of these discussions, and respectfully following the decision of the coordinate bench in assessee's own case for the earlier years [2018 (5) TMI 1895 - ITAT AHMEDABAD] , we uphold the grievance of the assessee and direct the AO to delete the impugned ALP adjustment. - Decided in favour of assessee.
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