https://www.taxtmi.com/caselaws?id=310971 ITAT Kolkata upheld CIT(A)'s acceptance of assessee's segmental profitability statement for transfer pricing analysis despite not being part of audited financial statements. The tribunal ruled that AS-17 segment reporting was not mandatory for small and medium companies, and segmental accounts could be accepted for arm's length price determination under TNMM when AE and non-AE segments perform different functions. The tribunal also accepted several comparables rejected by TPO including Kireeti Soft Technologies Ltd, Akshay Software Technologies Ltd, and Avani Cimcon Technologies Ltd, finding them functionally comparable. Additionally, cash profit margin was accepted as appropriate profit level indicator under TNMM for transfer pricing purposes. en-us Fri, 23 Aug 2019 00:00:00 +0530 Wed, 29 Nov 2023 20:13:16 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=310971 ITAT Kolkata upheld CIT(A)'s acceptance of assessee's segmental profitability statement for transfer pricing analysis despite not being part of audited financial statements. The tribunal ruled that AS-17 segment reporting was not mandatory for small and medium companies, and segmental accounts could be accepted for arm's length price determination under TNMM when AE and non-AE segments perform different functions. The tribunal also accepted several comparables rejected by TPO including Kireeti Soft Technologies Ltd, Akshay Software Technologies Ltd, and Avani Cimcon Technologies Ltd, finding them functionally comparable. Additionally, cash profit margin was accepted as appropriate profit level indicator under TNMM for transfer pricing purposes. Case-Laws Income Tax Fri, 23 Aug 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=310971