Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (7) TMI 18 - ITAT DELHITP Adjustment - addition on account of the ALP on purchase of goods - MAM selection - Assessee had applied RPM method to benchmark the international transactions of the goods purchased for resale - HELD THAT:- We are aware of the fact that Res Judicta principles are not applicable to the income tax proceedings but at the same time we find that the Honorable Supreme Court in the case of Radhasoami Satsang vs. CIT [1991 (11) TMI 2 - SUPREME COURT] has held that where a fundamental aspect permeating through the different assessment years is accepted one way or the other, a different value in the matter is not warranted unless there are any material change of facts. Before us, no distinguishing feature in the facts for the year under consideration and that of earlier and subsequent years, wherein the RPM method which been followed by the assessee, has been brought by the Revenue. Considering the totality of the aforesaid facts, we are of the view that DRP was not justified in rejecting the RPM method followed by assessee. We, therefore set aside the order and direct the AO to compute the ALP by following the RPM method. Thus, the grounds of appeal of the assessee are allowed.
|