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2013 (9) TMI 474 - AT - Income TaxAdjustment of arm's length price - purchase of Edible Oil - Malaysian Palm Oil Board (MPOB) - reliance on the data / quotation of 'Oil World'. - price benefit of +/-5% - Held that:- CIT(A) by well reasoned order has given a finding that the Oil World is an independent organization established in 1958 in Germany and provides independent forecasting services for oil seeds, oils and meals and providing primary information and professional analysis. He has further noted that the quotation adopted by Assessee from oil world is for Malaysia and not for Germany. The quotation on is an independent authentic trade quotation which cannot be ignored without any valid reason. He has further noted that no adjustment under section 92 (C) was required as all the prices at which the purchases were made were less than 5% of the arithmetical mean of the quotation from MPOB and Oil World. He has further noted that the assessee had entered into contract with A.E on long term basis for continuous supply of constant quality as to ensure continuity in production which was also an important factor for considering the ALP. - Decided against the revenue. Disallowance of expenditure - Prior period expenditure - Held that:- CIT(A) while upholding the disallowance the expenses has noted that the assessee has not submitted any evidence to prove the that the expenses crystallized during the year either before the Assessing Officer or before CIT(A). From the paper book placed on record it is seen that the statement of expenses very clearly indicates that the expenses relates to A.Y. 2000-01 - Decided in favour of Revenue.
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