https://www.taxtmi.com/caselaws?id=445139 ITAT Bangalore held that TPO's order was not erroneous and prejudicial to revenue interests. The tribunal ruled that ESOP expenses (Rs. 4,054 million) constitute non-operating expenditure for computing operating margin, not operating expenses as claimed by CIT. Regarding foreign exchange fluctuation loss (Rs. 110 million) and loss on investments in subsidiaries (Rs. 118 million), the tribunal noted CIT himself acknowledged these were not operating expenses, making his direction for fresh TPO examination unjustified. The revision order u/s 263 was quashed, deciding in favor of the assessee. en-us Wed, 25 Oct 2023 00:00:00 +0530 Wed, 01 Nov 2023 08:47:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=445139 ITAT Bangalore held that TPO's order was not erroneous and prejudicial to revenue interests. The tribunal ruled that ESOP expenses (Rs. 4,054 million) constitute non-operating expenditure for computing operating margin, not operating expenses as claimed by CIT. Regarding foreign exchange fluctuation loss (Rs. 110 million) and loss on investments in subsidiaries (Rs. 118 million), the tribunal noted CIT himself acknowledged these were not operating expenses, making his direction for fresh TPO examination unjustified. The revision order u/s 263 was quashed, deciding in favor of the assessee. Case-Laws Income Tax Wed, 25 Oct 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=445139