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2020 (5) TMI 354 - AT - Income TaxTP Adjustment - selection of MAM - Interest on receivables computed by Ld.AO/TPO - assessee has used TNMM to compute ALP of the transaction - HELD THAT:- Following the earlier decision in Kusum Healthcare (supra), it was observed that there are several factors which need to be considered before holding that every receivable is an international transaction and it requires an assessment on the working capital of the assessee. Applying the decision in Kusum Health Care [2015 (4) TMI 180 - ITAT DELHI] the Hon’ble High Court directed the TPO to study the impact of the receivables appearing in the accounts of the assessee; looking into the various factors as to the reasons why the same are shown as receivables and also as to whether the said transactions can be characterized as international transactions. We deem it appropriate to set aside the impugned order on this issue and remit the matter to the file of the Assessing Officer/TPO for deciding it in conformity with the above referred judgment. Disallowances made towards provision of expenses and stamp duty paid for registration the lease deed - HELD THAT:- Disallowance has resulted in enhancing the claim of deduction under section 80 IB (8A) - The disallowance has been made because of the statutory provisions under section 37 and as a consequence of such disallowance there is an increase in the income in the hands of assessee. We are therefore unable to accept the contentions of authorities below that in computing deduction under section 80 IB (8A) of the act in the hands of assessee the disallowance so made ought to be ignored. We direct the Ld.AO to compute the deduction under section 80 IB (8A) of the act in the hands of assessee in accordance with law having regard to ratio laid down by Hon’ble Bombay High Court in case of CIT vs Gem Plus Jewellery [2010 (6) TMI 65 - BOMBAY HIGH COURT]. Provision for expenses for computation of MAT under section 115JB - HELD THAT:- AO has not verified the claim and has denied it to assessee. We direct Ld.AO to verify the claim of assessee and if found eligible the same should be granted to assessee in accordance with law. TDS credit - HELD THAT:- Direct Ld.AO to verify and consider the claim of assessee based upon the documents filed in accordance with law.
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