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2019 (7) TMI 1650 - CESTAT KOLKATAMethod of Valuation - related party transaction - benefit of SSI exemption - existence of mutuality of interest - HELD THAT:- There is nothing in the records to show that the two companies are related i.e., they are inter-connected undertakings or relatives or one is a distributor of the other or they are so associated that they have interest directly or indirectly in the business of each other. Under the circumstances, there is no infirmity in the order of the learned Commissioner once he held that there is no evidence that the two companies are related persons. Therefore, there is also no ground whatsoever to deny them the benefit of SSI exemption individually. It is the case of the Revenue that they are located on the same plot of land and have three common directors and were using the same office and telephone. It is also the case of the Revenue that in one letter-head of M/s.Bharat, the name of the appellant was also printed on the type right side. It is further the case of the Revenue that the balance sheet and profit and loss account of the two companies show that one amount went to the other - None of these facts, if true, would meet the requirement under section 4(3)(b) for the two companies to be called related persons. The impugned order is upheld and the appeal filed by the Revenue is dismissed.
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