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2024 (4) TMI 265 - ITAT DELHITP Adjustment - Comparable selection - HELD THAT:- Comparable companies in dispute namely, Roto Pumps and Simmonds Marshal Ltd. are engaged in totally dissimilar business and financials of such comparable companies selected by the TPO would give wholly incongruent results owing to overwhelming product dissimilarity. AO/TPO to our mind wrongly modified transfer pricing analysis of the assessee by wrongfully including these two companies with inherent dissimilarity. The CIT(A) has set right the glaring error committed by the AO/TPO. We thus see no reason to interfere with the finding of facts arrived at by the CIT(A). The grievances raised by the Revenue as per its grounds no.1 and 2 are thus devoid of any merit. Hence, we decline to interfere. Interest earned on fixed deposits as part of operating profit while calculating Profit Level Indicator (PLI) for the purposes of comparability analysis - HELD THAT:- As assessee submits that once the comparables namely, Roto Pumps and Simmonds Marshall Ltd. are excluded for the purposes of comparability analysis and determination of ALP, nothing turns on grievances of the Revenue in present appeal emanating from alternative ground raised before the CIT(A). Revenue has not rebutted such observations on behalf of the assessee. Foreign exchange gain / loss as non-operating in nature while calculating the margins of the assessee-company as well as comparable companies for the purposes of determination of ALP - HELD THAT:- As assessee pointed out on the similar footings that once the comparative analysis with reference to Roto Pumps and Simmonds Marshall Ltd. is set right are excluded, the adjudication of such grievance raised on behalf of the Revenue becomes inconsequential due to absence of any adverse impact on the interest of the Revenue.Revenue has again not rebutted such observation. Revenue appeal dismissed.
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