Pre-amendment reassessment limitation bars late notices under the preserved regime, invalidating consequential reassessment for affected earlier asses...
Cash-sales explanations for bank deposits require documentary reconciliation; reassessment notice survived where effective response time was available...
Functional comparability in transfer pricing prevents ad hoc arm's length adjustments where functions, assets, risks and reliable comparables are unes...
Contingency expenses, exempt-income disallowance, and royalty benchmarking: unsupported adjustments were deleted under consistent accounting and trans...
Royalty benchmarking for technical know-how requires reliable comparable uncontrolled transactions before applying the Comparable Uncontrolled Price method. Where royalty payments are interrelated with manufacturing and other international transactions, and no evidence establishes an independent royalty transaction or supports CUP comparables, entity-level aggregation under the Transactional Net Margin Method is appropriate; a benefit test alone cannot justify a nil arm's length price. Consistency also requires Revenue to follow an earlier transfer-pricing determination where the royalty agreement, rates, and material facts remain unchanged. The transfer-pricing adjustment on royalty payments was deleted and the Revenue's appeals were dismissed.
Royalty benchmarking for technical know-how requires reliable comparable uncontrolled transactions before applying the Comparable Uncontrolled Price method. Where royalty payments are interrelated with manufacturing and other international transactions, and no evidence establishes an independent royalty transaction or supports CUP comparables, entity-level aggregation under the Transactional Net Margin Method is appropriate; a benefit test alone cannot justify a nil arm's length price. Consistency also requires Revenue to follow an earlier transfer-pricing determination where the royalty agreement, rates, and material facts remain unchanged. The transfer-pricing adjustment on royalty payments was deleted and the Revenue's appeals were dismissed.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4918 
