https://www.taxtmi.com/caselaws?id=188928 Penalty under section 271(1)(c) read with Explanation 7 is not automatic in transfer pricing matters. Where the assessee discloses all material facts and shows that the price of international transactions was computed under section 92C in good faith and with due diligence, the deeming fiction in Explanation 7 is displaced. The TNMM method and comparable selection were not disturbed, and the remuneration model was accepted in quantum proceedings. A partial adjustment survived only because the assessee accepted an enhanced mark-up to buy peace, which by itself did not establish concealment or furnishing of inaccurate particulars. On that basis, the penalty was held not leviable. en-us Wed, 10 Aug 2016 00:00:00 +0530 Wed, 21 Dec 2016 07:29:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=188928 Penalty under section 271(1)(c) read with Explanation 7 is not automatic in transfer pricing matters. Where the assessee discloses all material facts and shows that the price of international transactions was computed under section 92C in good faith and with due diligence, the deeming fiction in Explanation 7 is displaced. The TNMM method and comparable selection were not disturbed, and the remuneration model was accepted in quantum proceedings. A partial adjustment survived only because the assessee accepted an enhanced mark-up to buy peace, which by itself did not establish concealment or furnishing of inaccurate particulars. On that basis, the penalty was held not leviable. Case-Laws Income Tax Wed, 10 Aug 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=188928