Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2016 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (12) TMI 1585 - AT - Income TaxTPA - selection of comparable - Held that:- Assessee provides Information Technology ('IT') enabled back office processing services thus companies functionally different and operates on a different business model with that of assessee need to be de-selected from final list of comparable. Working Capital Adjustments - Held that:- As far as working capital adjustments are concerned, there is no dispute about the adjustment per se. the dispute is regarding the working of adjustment only. As regards the quantum of working capital adjustment, we direct the AO/TPO to verify the correctness of the amount of working capital adjustment claimed by the assessee and then decide as per facts and law. The ground is allowed accordingly. AO is also directed to work out the correct margins of the comparable companies as directed by Ld. CIT(A) in his order as assessee submits that this direction of Ld. CIT(A) was not followed by AO. After that AO/TPO is directed to work out the ALP as per the provisions of the Act.
|