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2022 (6) TMI 1386 - AT - Income TaxTP adjustment - interest on trade receivables balances from associated enterprises by applying interest rate of 14.75% being SBI short term deposit interest rate - As per assessee if interest is charged, such interest should only be at LIBOR and not SBI short term deposit rates - HELD THAT:- In our view, in the present case, the outstanding receivables by the assessee are required to be benchmarked. It is an admitted fact that the outstanding receivables by the assessee are more than 30 days as held by the DRP. In the light of the above, respectfully, following the decision of Zeta Interactive Systems (India) Pvt. Ltd. [2022 (6) TMI 1383 - ITAT HYDERABAD] we modify the order passed by the DRP and direct the TPO to compute by applying 6% interest rate on outstanding receivable at the year end as against 14.75% and recompute the adjustment to be made to the total income of the assessee.Appeal of the assessee is partly allowed.
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