2021 (9) TMI 1393

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....rasad, AR For Revenue : Shri Y.V.S.T.Sai, CIT-DR O R D E R PER S.S.GODARA, J.M. : This assessee's appeal for AY.2016-17 arises against the assessment dated 27-05-2021, framed by the National Faceless Assessment Centre, Delhi in furtherance to the Dispute Resolution Panel ('DRP')-1, Bengaluru's directions dt.02-03-2021 in F.No.59/DRP-1/BNG/2019-20, involving proceedings u/s.143(3) r.w.s....

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....rievance. We make it clear that we are dealing with Chapter-X of the Act which is in the nature of a "Special Provision" not dependent upon actually derived income component; whatsoever. Coupled with this, hon'ble Madras high court's decision PCIT Vs. M/s.Redington (India) Ltd., (TCA Nos.590 and 591 of 2019, dt.10-12-2020) holds that a corporate guarantee to be an international transaction ....

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....erein I decided the issue in favour of the appellant company by observing that, "the Transfer Pricing Officer had charged corporate guarantee commission @ 2% which is higher than the appellant charged. Since the appellant has charged a reasonable corporate guarantee commission i.e. @ 0.875% are more than the Tribunals allowed. Therefore, the addition made by the Assessing Officer is hereby deleted....

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....ables to the tune of Rs.82,66,546/- emanating from the order of Transfer Pricing Officer's (TPO's) and DRP's directions going by interest rate @7.5% as per SBI domestic term deposits returns. Suffice to say, it transpires at the outset that we need not delve much deeper qua the relevant facts pertaining to the instant issue. We find that assuming but not accepting that the ld.lower authorities ....