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2019 (9) TMI 473 - HC - Income TaxTP Adjustment - determining 0.5% p.a. as arm's length corporate guarantee fee - HELD THAT:- We find that the impugned order has allowed the Respondent-Assessee’s appeal while holding that the rate of 3% taken as ALP for the fee to grant corporate guarantee to its Associated Enterprises, is not appropriate. This as on identical facts, this Court in the case of CIT v/s. Everest Kento Cylinders Ltd. [2015 (5) TMI 395 - BOMBAY HIGH COURT] held that corporate guarantee, cannot be compared with the guarantee provided by the commercial banks. In the above view, this Court held that the adoption of 0.50% as ALP for the fee for grant of corporate guarantee, would be the appropriate ALP. Appeal admitted on the substantial question of law at (a) - Whether on the facts and in the circumstance of the case and in law, the Tribunal erred in law in deleting, in principle, transfer pricing adjustment made by the Assessing Officer (AO)/ Transfer Pricing Officer (TPO) in respect of expenditure incurred on Advertising, Marketing and Promotion Expenses ('AMP Expenses') ?
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