Business reorganisation requires recognition of successor's modified return; draft orders against dissolved transferor quashed and fresh review direct...
Pre-commencement R&D deduction denied where business had not commenced; deeming benefit requires tangible start of manufacture or commercial exploitat...
Priority of set-off: brought forward business losses must be adjusted before unabsorbed depreciation; procedural safeguards required for invoking rest...
A binding advance pricing agreement covering the relevant intra-group second line support services prevented disallowance of the related expenditure on business expediency grounds. The Tribunal held that, once a transaction falls within an APA, it binds both the Department and the assessee because the APA process already examines functions, assets, risks, benefit, and cost allocation; that itself establishes business purpose. The Assessing Officer could not ignore the APA and disallow the expenditure under section 37(1), particularly where no reasons were recorded for the disallowance and similar expenditure had been accepted in earlier years. The disallowance was deleted and the assessee's claim was allowed.
A binding advance pricing agreement covering the relevant intra-group second line support services prevented disallowance of the related expenditure on business expediency grounds. The Tribunal held that, once a transaction falls within an APA, it binds both the Department and the assessee because the APA process already examines functions, assets, risks, benefit, and cost allocation; that itself establishes business purpose. The Assessing Officer could not ignore the APA and disallow the expenditure under section 37(1), particularly where no reasons were recorded for the disallowance and similar expenditure had been accepted in earlier years. The disallowance was deleted and the assessee's claim was allowed.
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