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2013 (5) TMI 277 - DELHI HIGH COURTManner of computation of profit level indicator - Transfer pricing adjustment - Tribunal held that installation/commissioning and maintenance services were not part of the international transactions & since the profit level indicator shown by the assessee was 18.98% inasmuch as the profit level indicator of the comparables determined by the TPO was at 16.34%, which was lower there was no need for any adjustment in the arm’s length prices Held that:- It is evident that the transactions pertaining to the installation/commissioning and maintenance services were not international transactions as contemplated under section 92B(1)& 92B(2) because none of the conditions stipulated therein of a prior agreement existing between the customers of the respondent/assessee and the associated enterparises have been established as a fact. Moreover, there is no finding that the terms of the transaction of installation/commissining as well as maintenance had been determined in substance between the customers and the respondent/assessee by the associated enterprise. In the absence of such findings, it cannot be deemed that the transaction of installation/commissioning as well as provision of maintenance services by the respondent to its domestic customers in India were international transactions falling within section 92B(2) of the said Act. No substantial question of law arises for the consideration of this court.
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