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2015 (6) TMI 361 - AT - Income TaxTP adjustment - adopted the ALP margin at 35.18% in place of 22.17% and thus, arriving at an adjustment of ₹ 1,45,10,908/- - Held that:- TPO has arrived at the figure of 35.18% margin in the cases of non-AE sales. Such calculation is not made part of the TPOs order. Ld. DRP also did not give any reason to reduce the rate of 35.18% to 30% and same has been reduced in adhoc manner. As against these actions of TPO and DRP, it is the case of the assessee that on similar transaction in earlier years no TP adjustment is made and the matter has to be considered in right perspective. We observe that the assessee has applied Cost Plus Method which has been accepted by TPO but in fact as it appears from the order passed by TPO, that he has adopted internal CUP method when he applied margin of non-AE to the transaction of the assessee with it’s A.E. Keeping in view all these facts, We consider it appropriate to accept the request of Ld. AR to restore this issue to the file of TPO. Accordingly, we restore the issue to the file of TPO with a direction to consider this issue denovo and pass a reasoned and speaking order - Decided in favour of assesse for statistical purposes. Addition on account of employees contribution to PF and ESIC - Held that:- After hearing both the parties, respectfully following the aforementioned decision of Hon’ble Bombay High Court in the case of CIT vs. Ghatge Patil Transports Ltd., (2014 (10) TMI 402 - BOMBAY HIGH COURT)in which it has been held that the Tribunal was right in deleting the addition with regard to payment of employees contribution when the payment has been made before due date of filing the return, we delete the disallowance as all the payments are made before due date of filing of the return. - Decided in favour of assesse. Addition of interest under section 41(1) - Held that: This issue is restored back to the file of AO with a direction to verify the contention of the assessee and, if after verification, it is found that the impugned amount is already offered to tax in assessment year 2004-05 and 2005-06, then no addition should be made in the present year and, if the contention of the assessee is not found to be correct, then the same may be added to the income of the assessee after giving the assessee a reasonable opportunity of hearing.- Decided in favour of assesse for statistical purposes.
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