https://www.taxtmi.com/caselaws?id=305987 An ITAT Pune ruling on transfer pricing and TDS issues reiterates that an international transaction and its arm's length price cannot be presumed merely because advertising and marketing spend is higher than comparables; without proof of an arrangement for the AE's benefit, the adjustment on A&M expenses was rejected. For raw material imports, the Tribunal required fresh benchmarking using third-party price evidence and confined any adjustment, if warranted, to AE transactions. It also held that salary reimbursement for deputed employees and selling discounts did not attract TDS under sections 194J or 194H, so disallowance under section 40(a)(ia) could not stand, while other claims were remitted for limited verification. en-us Mon, 01 Nov 2021 00:00:00 +0530 Tue, 03 Jan 2023 21:14:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=305987 An ITAT Pune ruling on transfer pricing and TDS issues reiterates that an international transaction and its arm's length price cannot be presumed merely because advertising and marketing spend is higher than comparables; without proof of an arrangement for the AE's benefit, the adjustment on A&M expenses was rejected. For raw material imports, the Tribunal required fresh benchmarking using third-party price evidence and confined any adjustment, if warranted, to AE transactions. It also held that salary reimbursement for deputed employees and selling discounts did not attract TDS under sections 194J or 194H, so disallowance under section 40(a)(ia) could not stand, while other claims were remitted for limited verification. Case-Laws Income Tax Mon, 01 Nov 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=305987