https://www.taxtmi.com/caselaws?id=472602 Transfer-pricing benchmarking under the transactional net margin method requires economically and functionally comparable entities. Material turnover differences can affect market position, bargaining power, economies of scale, brand advantage, capacity for complex contracts and profitability; high-turnover and functionally dissimilar entities should therefore be excluded when benchmarking captive software development services. Interest on overdue associated-enterprise receivables must reflect the actual credit risk. Where no basis supports a higher spread and the holding-company receivable presents limited credit risk, LIBOR plus 200 basis points is an appropriate benchmark. The arm's-length price requires recomputation on these bases. en-us Fri, 19 Dec 2025 00:00:00 +0530 Fri, 16 Oct 2026 18:43:22 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=472602 Transfer-pricing benchmarking under the transactional net margin method requires economically and functionally comparable entities. Material turnover differences can affect market position, bargaining power, economies of scale, brand advantage, capacity for complex contracts and profitability; high-turnover and functionally dissimilar entities should therefore be excluded when benchmarking captive software development services. Interest on overdue associated-enterprise receivables must reflect the actual credit risk. Where no basis supports a higher spread and the holding-company receivable presents limited credit risk, LIBOR plus 200 basis points is an appropriate benchmark. The arm's-length price requires recomputation on these bases. Case-Laws Income Tax Fri, 19 Dec 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=472602