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2018 (4) TMI 35 - AT - Income TaxTPA - ALP determination - whether the arm's length price determined by the Transfer Pricing Officer is within ±5% range as provided in the second proviso to section 92C(2)? - Held that:- A reading of the said proviso makes it clear that the ±5% range is applicable to the arm's length price and not arm's length profitability. Therefore, the learned Commissioner (Appeals) has completely misconceived the statutory provisions while rejecting the claim of the assessee. In view of the aforesaid, we direct the Assessing Officer to verify the working of ±5% referred to above and if assessee’s claim is found to be correct no addition on account of transfer pricing adjustment should be made. With the aforesaid observations, the ground is allowed for statistical purposes. Increase the value of opening stock of current year on account of addition made to closing stock being unutilized modvat credit - Held that:- Hon'ble Jurisdictional High Court in CIT v/s Mahalaxmi Glass Works Ltd. [2009 (4) TMI 182 - BOMBAY HIGH COURT] as per section 145A of the Act, if there is any change in the closing stock at the end of the year then there must necessarily be a corresponding adjustment made in opening stock of that year. - Decided against revenue
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