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2017 (1) TMI 1687 - AT - Income TaxTP Adjustment - capacity utilization and working capital adjustment - HELD THAT:- Having carefully examined the orders of lower authorities in the light of rival submissions, we are of the view that since the Tribunal has taken a view in assessee’s own case in the succeeding year, we do not find any justification to take a contrary view in this appeal. Tribunal has given a detailed guidelines as to how to make or grant capacity utilization adjustment. Hence, we feel it proper that this matter also should go back to the file of the AO/TPO for granting capacity utilization adjustment Accordingly, following the order of the Tribunal, we restore the matter to the file of the AO to readjudicate the issue of lower capacity utilization and working capital adjustment in the light of the finding of the Tribunal in assessee’s own case for the AY 2006-07. Accordingly, the order of the CIT(Appeals) is set aside and the matter is restored to the AO/TPO in the terms indicated above.
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