https://www.taxtmi.com/caselaws?id=787576 Amortization of goodwill that materially reduced the tested party's profitability is to be treated as an extraordinary/non operating item and adjusted in computing the Profit Level Indicator under the Transactional Net Margin Method for arm's length price determination; the matter is remitted to the AO/TPO for verification and recomputation consistent with that direction. Separately, initiation of penalty proceedings is premature at this stage and is dismissed on that procedural ground. Both outcomes are recorded in favour of the assessee, subject to verification whether depreciation was claimed. en-us Fri, 06 Mar 2026 00:00:00 +0530 Mon, 09 Mar 2026 07:53:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=787576 Amortization of goodwill that materially reduced the tested party's profitability is to be treated as an extraordinary/non operating item and adjusted in computing the Profit Level Indicator under the Transactional Net Margin Method for arm's length price determination; the matter is remitted to the AO/TPO for verification and recomputation consistent with that direction. Separately, initiation of penalty proceedings is premature at this stage and is dismissed on that procedural ground. Both outcomes are recorded in favour of the assessee, subject to verification whether depreciation was claimed. Case-Laws Income Tax Fri, 06 Mar 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=787576