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2010 (2) TMI 855 - AT - Income TaxTransfer pricing adjustment - assessee has not been able to place on record sufficient details and evidence before the tax authorities below to substantiate its claim of choosing correct comparables for application of RPM for determining the ALP as per mandatory provisions of r. 10B as per guidelines issued by OECD on transfer pricing and in accordance with the principles laid down by the Tribunal in their recent decisions i.e., Mentor Graphics (Noida) (P) Ltd. (2007 - TMI - 65518 - ITAT DELHI-H ) - tax authorities below/TPO while applying TNMM first have not conducted the independent study by choosing their own comparables and second in relying on six comparables out of seven-comparables used by the assessee for applying RPM, have not done proper screening of such comparables in accordance with the guidelines laid down in the decisions (supra) by the Tribunal - Since the suggestion of the learned Authorised Representative for the assessee regarding setting aside the orders of the tax authorities below and restoring the matter to the file of the AO for deciding the matter afresh in entirety as per the guidelines issued in the cases (supra) by the Tribunal was, in fact, not opposed by the learned Departmental Representative for the Revenue; the learned Departmental Representative for the Revenue preferred not to advance any arguments on merit in support of the orders of tax authorities below – Held that:- matter is restored to the file of the AO for compliance. Consequently, the grounds of appeal taken by the assessee before us stand allowed for statistical purposes.
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