TMI Blog2014 (12) TMI 11X X X X Extracts X X X X X X X X Extracts X X X X ..... ives or without export incentives - the order of the AO u/s 251/143(3) notes that after the order of the CIT(A) dated 30 January 2012 directing the TPO to compute the Arm's Length Price, the TPO agreed with the opinion of the CIT(A) and by a letter dated 18 November 2013 stated that the correct Arm's Length Price would have to be computed by treating the case of the assessee and comparable instances on the same footing by according the same treatment to export incentives - the international transaction of the assessee was considered to reflect the Arm's Length Price – The order of the Tribunal is upheld – Decided against revenue. - INCOME TAX APPEAL No. - 130 of 2014 - - - Dated:- 10-7-2014 - Dr. Dhananjaya Yeshwant Chandrachud and Dilip ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Price was computed on the basis of these adjustments since the margin of the assessee for exports to the associated enterprise was 1.54% whereas comparable instances showed a margin of operating profit at 9.46%. The assessee filed an appeal before the CIT(A)-II. By an order dated 30 January 2012, the CIT(A) disposed of the appeal. The CIT(A) observed that the operating margin of the assessee was 14.23% when export incentives were included in the operating revenue and 1.57% when export incentives were excluded. In the case of the assessee, the TPO computed the difference of the operating margin by excluding export incentives but while evaluating the comparable instances, the export incentives were included by the TPO. In this background, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A) and by a letter dated 18 November 2013 stated that the correct Arm's Length Price would have to be computed by treating the case of the assessee and comparable instances on the same footing by according the same treatment to export incentives. Accordingly, the international transaction of the assessee was considered to reflect the Arm's Length Price. On this basis the revised income of the assessee has been computed. Since the order of the CIT(A) which was confirmed by the Tribunal has since been duly implemented by the order of the Assistant Commissioner of Income Tax dated 27 December, 2013, this appeal cannot be entertained as nothing survives in this appeal. No substantial question of law would, therefore, arise. The ..... X X X X Extracts X X X X X X X X Extracts X X X X
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