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2016 (10) TMI 1283 - AT - Income TaxTP Adjustment - comparable selection - non-granting of adjustment on account of lower capacity utilization and working capital adjustment - capacity utilization adjustment - HELD THAT:- For exclusion of Electronica Machine tools Ltd., and Kulkarni Power Tools Ltd., assessee pointed out the annual reports of these two companies on the issue regarding these two companies raised by way of filing additional grounds. Regarding inclusion of two companies i.e M/s Guindy Machine Tools Ltd., and M/s United Drilling Tools Ltd., It has been submitted before us that these companies were rejected because unavailability of data, but since the data of these two companies are now available in the annual report of these two companies, these two companies should be considered as good comparables. We are of the considered opinion that the issue regarding inclusion of these two companies should go back to the file of the TPO/ AO for fresh decision. Adjustment on account of lower capacity utilization and working capital adjustment - HELD THAT:- It is seen that the Tribunal has given a detailed guidelines as to how to make or grant capacity utilization adjustment. Hence, we feel it proper that this matter also should go back to the file of the AO/TPO for granting capacity utilization adjustment as per the guidelines given by the Tribunal in the case of DCIT Vs Class India Pvt.Ltd. [2015 (8) TMI 1490 - ITAT DELHI] . It is ordered accordingly.
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