Service permanent establishment requires non-auxiliary services, while arm's-length distributor remuneration precludes further profit attribution in I...
Make-available condition excludes standard SaaS subscription receipts where customers receive no independently usable technical knowledge after subscr...
Anonymous donation classification fails where charitable trusts maintain undisputed donor identity records and evidence corpus contributions' intended...
Transfer pricing adjustment on interest paid on compulsorily convertible debentures was held unsustainable where the TPO recharacterised the CCDs as equity and fixed the arm's length price of interest at nil. The Tribunal applied settled precedent that CCDs carrying stipulated interest cannot be treated as equity for this purpose, and that interest on such instruments cannot be disallowed merely because conversion into equity is contemplated later. It also relied on decisions allowing expenditure on issue of convertible debentures as revenue expenditure notwithstanding future conversion. The adjustment on account of interest expense on CCDs was therefore deleted.
Transfer pricing adjustment on interest paid on compulsorily convertible debentures was held unsustainable where the TPO recharacterised the CCDs as equity and fixed the arm's length price of interest at nil. The Tribunal applied settled precedent that CCDs carrying stipulated interest cannot be treated as equity for this purpose, and that interest on such instruments cannot be disallowed merely because conversion into equity is contemplated later. It also relied on decisions allowing expenditure on issue of convertible debentures as revenue expenditure notwithstanding future conversion. The adjustment on account of interest expense on CCDs was therefore deleted.
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