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2023 (7) TMI 897 - AT - Income TaxTP adjustment - comparable selection - exclusion of UPS Print Systems Ltd. and BNR Udyog Ltd. from the list of comparables for the purpose of determining the ALP of the international transactions - HELD THAT:- Actually the AO issued a notice u/s 133(6) of the Act to M/s. Universal Print Systems Ltd. and no reply has been received from them. Having no option, he considered this company as comparable to the assessee company and included in the lists of comparables. In our opinion, the required information u/s 133(6) of the Act is not made available to the TPO, in such circumstances, T.P. adjustment on this count cannot be made reasonable or accurately made in this regard. Accordingly, this company is to be excluded from the list of comparable companies as reliance placed by this Tribunal while deciding this issue in decision of Zyme Solutions Pvt. Ltd. Vs. ACIT [2018 (11) TMI 1793 - ITAT BENGALURU] . Thus we direct the AO/TPO to exclude Universal Print Systems Ltd. from the list of comparables. This ground is allowed. BNR Udyog Ltd.as fails RPT filter and also fails the functionality test - As decided in GTS E-SERVICES PRIVATE LTD. [2019 (7) TMI 296 - ITAT MUMBAI] as this entity was engaged in medical transcription, medical coding and medical billing etc. thus medical transcription would not be, at all, functionally similar. Thus we direct the AO/TPO to exclude this company as it fails the functionality test since the assessee is engaged only in trading, distribution of laboratory products and chemicals, strategy sourcing, ITeS, etc. This ground is allowed.
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