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2018 (8) TMI 1885 - HC - Income TaxTP Adjustment - comparable selection - Mapel e-Solutions Ltd - HELD THAT:- Tribunal after analyzing the relevant factors with respect to the aforesaid comparable in question, has rightly arrived at a finding that the objections of the Assessee as regards the alleged fraud against the Directors of the company would not disqualify the said comparable to be considered. The alleged fraud was relating to a different segment namely, ‘Bicycles Business’ and the allegation was with respect to some of the Directors in the old period 1980-1990, which has no relevancy for the present A.Y.2006-07 and for Software business. In view of the said findings rendered by the learned Tribunal for including the said comparable- Mapel e-Solutions Ltd., to determine the ALP, in the light of the decision we have rendered in the Softbrands case (2018 (6) TMI 1327 - KARNATAKA HIGH COURT) we are satisfied that no substantial question of law arises for our consideration in this regard qua the said comparable case. Genesys International Corporation - RPT as found by the TPO in this case is 26.33%. Therefore, it is clear that this company does not satisfy the filter of 15% of Related Party or even 25% as applied by the TPO. The learned Authorised Representative has submitted that the RPT of this company is only 10.13% if a non-trading/revenue receipts are excluded. We find that when the receipt from the Related Party are falling under the definition of international transactions then the same will be treated as part of the RPT as reported by the said company. Accordingly, in view of the fact that this company has more than 26% RPT cannot be considered as good comparable
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