https://www.taxtmi.com/caselaws?id=797674 Separate transfer-pricing adjustment for interest on overdue receivables from an associated enterprise may be warranted even where the underlying IT-enabled services transaction falls within the arm's-length tolerance range. Receivables representing an abnormal credit period beyond the contractual 90 days require independent consideration where the credit-period impact is not adequately reflected in the service price. The principle that receivables are closely linked to the principal transaction applies only when, after a credit-period adjustment, the transaction price remains at or above the arm's-length price. Interest beyond the agreed credit period may therefore be benchmarked at LIBOR plus 200 basis points. en-us Wed, 05 Aug 2026 00:00:00 +0530 Wed, 26 Aug 2026 08:27:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=797674 Separate transfer-pricing adjustment for interest on overdue receivables from an associated enterprise may be warranted even where the underlying IT-enabled services transaction falls within the arm's-length tolerance range. Receivables representing an abnormal credit period beyond the contractual 90 days require independent consideration where the credit-period impact is not adequately reflected in the service price. The principle that receivables are closely linked to the principal transaction applies only when, after a credit-period adjustment, the transaction price remains at or above the arm's-length price. Interest beyond the agreed credit period may therefore be benchmarked at LIBOR plus 200 basis points. Case-Laws Income Tax Wed, 05 Aug 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=797674