2021 (5) TMI 989

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..... posit cannot be taken at par with an international transaction u/s.92B of the Act since the latter involves foreign currency and overseas market conditions. In addition to this, learned lower authorities have also not adopted any comparable in the very segment as well so as to come to the conclusion that the assessee s receivables in case of overseas AEs involved more than the market practice of r .....

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..... t, 2021 proposing amendment in both Section 36(va) as well as Section 43B by inserting corresponding Explanations that although the impugned employees provident fund comes under the former provision only, the same is applicable from 01-04-2021 onwards. Meaning thereby that the legislature itself has condoned the impugned default before 01-04-2021. We thus delete the impugned employees provident fu .....

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..... its two substantive grounds in the instant appeal. Former of the said ground challenges correctness of the lower authorities action making arm s length price ALP adjustment of ₹ 1,20,78,616/- qua interest on receivables involving its overseas Associated Enterprise AEs . Suffice to say, it transpires at the outset that we need not delve deeper qua the relevant facts pertaining to the ins .....

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..... ant argument since such a short term deposit cannot be taken at par with an international transaction u/s.92B of the Act since the latter involves foreign currency and overseas market conditions. In addition to this, learned lower authorities have also not adopted any comparable in the very segment as well so as to come to the conclusion that the assessee s receivables in case of overseas AEs invo .....

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..... t in the Revenue s foregoing stand. We take note of the explanatory memorandum to the Finance Act, 2021 proposing amendment in both Section 36(va) as well as Section 43B by inserting corresponding Explanations that although the impugned employees provident fund comes under the former provision only, the same is applicable from 01-04-2021 onwards. Meaning thereby that the legislature itself has con .....

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