Transfer-pricing AMP expense dispute fails where prior ruling rejected the bright line test and no fresh question of law arose.

The Delhi HC held that no interference was warranted with the Tribunal's deletion of the transfer-pricing adjustment relating to advertisement, marketing and promotion expenses. The Court noted that the same AMP issue in the assessee's own case had already been decided against the Revenue, with the bright line test rejected, and therefore no fresh substantial question of law arose. As the prior view governed the dispute, the AMP expenditure was not separately benchmarked as an international transaction and the Revenue's challenge failed.

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Issues: Whether the Tribunal was justified in deleting the transfer-pricing adjustment made on account of advertisement, marketing and promotion expenses, and whether such AMP expenditure could be separately benchmarked as an international transaction.

Analysis: The appeal was predicated on the Revenue's challenge to the Tribunal's deletion of the AMP adjustment. The Court noted that the same controversy in the assessee's own case had already been decided earlier, where the bright line test had been rejected and the Revenue's appeal had been dismissed. Following that binding view, no fresh substantial question of law was found to arise.

Conclusion: The AMP adjustment was not restored, and the appeal was dismissed.

Final Conclusion: The decision leaves intact the Tribunal's deletion of the AMP adjustment and brings the Revenue's challenge to an end.

Ratio Decidendi: Where the same AMP-transfer-pricing issue has already been decided against the Revenue and no fresh substantial question of law is shown, the appeal does not warrant interference.

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