https://www.taxtmi.com/highlights?id=105194 TNMM requires operating profit and operating cost to be computed consistently for the tested party and comparable companies. A provision for doubtful debts linked to sales and trade receivables, and routine business levies such as rates and taxes, may be operating expenses because of their business nexus; income-tax on profits remains excluded. Rule 10B requires FAR-based functional comparability, reliable segmental data and reasonably accurate adjustments for material differences, including scale. A search matrix is evidentiary discipline rather than a statutory bar: an out-of-matrix comparable requires substantiated functional fit and filter compliance, while rejection solely for matrix absence is inappropriate. Contemporaneous documentation must support searches, exclusions, classifications and margin adjustments. en-us Mon, 19 Oct 2026 18:54:01 +0530 Mon, 19 Oct 2026 18:54:01 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=105194 TNMM requires operating profit and operating cost to be computed consistently for the tested party and comparable companies. A provision for doubtful debts linked to sales and trade receivables, and routine business levies such as rates and taxes, may be operating expenses because of their business nexus; income-tax on profits remains excluded. Rule 10B requires FAR-based functional comparability, reliable segmental data and reasonably accurate adjustments for material differences, including scale. A search matrix is evidentiary discipline rather than a statutory bar: an out-of-matrix comparable requires substantiated functional fit and filter compliance, while rejection solely for matrix absence is inappropriate. Contemporaneous documentation must support searches, exclusions, classifications and margin adjustments. Highlights Income Tax Mon, 19 Oct 2026 18:54:01 +0530 https://www.taxtmi.com/highlights?id=105194