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2014 (1) TMI 72 - AT - Income TaxTransfer pricing adjustment - Selection of comparables – Held that:- Following Deputy Commissioner of Income-tax, Circle-1(2), Hyderabad Versus Deloitte Consulting India (P.) Ltd. [2011 (7) TMI 583 - ITAT HYDERABAD] - The giant companies namely Wipro and Infosys which are taken as comparables as turnovers of these companies are multiple number of times higher compared to that of the assessee are excluded – Thus, the Dispute Resolution Panel erred in considering their profit level indicator to arrive at the arithmetic mean. TPA - Rejection of including amount received as reimbursements – Arithmetic mean profit level indicator applied for adjustment – Held that:- The difficulty in adjudicating the issue agitated by the assessee is that there is absence of clarity on the subject - As the assessee has not clearly explained its case, the Dispute Resolution Panel refused to interfere with the order of the Transfer Pricing Officer – no materials brought out in respect of the claim of the assessee against including the amount received as reimbursement while applying arithmetic mean, profit level indicator for adjustment - In the absence of any additional information on this issue, the Commissioner of Income-tax (Appeals)'s order is upheld – Decided partly in favour of Assessee.
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