2025 (5) TMI 1643

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....he orders of the authorities below are Nippon Steel Engineering India Private Limited (NSEI" or "the Company" or "the assessee") is a private limited company and was incorporated on 20.04.2010. The Company is engaged in providing marketing and administrative /support services to Nippon Steel Engineering Co. Limited. Japan ("NSE") and its subsidiary/group companies. The activities include information collation, inputs and services and co-ordination and communication between companies and NSE. (Refer pages 74-78 of Paper-book for detailed functional analysis captured in the TP documentation and page 1241 for intercompany agreement) The Company is also engaged in the business of execution of construction contracts which includes equipment supp....

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.... 2020-21, at INR 8,63,16,713, as against the total income reported in the return of income ("ROI") amounting to INR 7,96, 79,550. Transfer Pricing 3. That the Ld. AO/ Learned Deputy/Assistant Commissioner of Income-tax, Transfer Pricing Officer- 2(3)(1) ("Ld. TPO") have erred in enhancing the income of the Appellant by INR 63,18,723 in relation to provision of marketing and administrative support services to its Associated Enterprise ("AE"). In doing so, Ld. AO/ Ld. TPO have grossly erred in: 3.1. not accepting the economic analysis undertaken by the Appellant in accordance with provisions of the Income-tax Act, 1961 read with the Income-tax Rules, 1962, and modifying the same for determination of arm's length....

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....llate authorities applicable to the facts of the instant case. Corporate tax 4. That the Ld. AO have erred in facts and in law in denying the deduction claimed by the Appellant on account of Payment of Gratuity and Employer's Contribution to Provident Fund amounting to INR 3,18,440. Other Grounds 5. That on the facts and circumstances of the case and in law, the Ld. AO has erred in charging interest under Section 234A, 234B and 234C of the Act. 6. That on the facts and circumstances of the case and in law, the Ld. AO erred in initiating penalty proceedings under Section 270A of the Act mechanically on the additions made. 5. In ground no.1, the ld. Counsel for the assessee has challenged th....

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....Rs. 8,90,977/- in its tax computation and hence no separate disallowance of Rs. 1,59,577/- is required to be made. In nutshell, the ld. Counsel for the assessee pointed out that net provision vis- à-vis payment of gratuity, created during the year was already disallowed by the assessee while computing the taxable income. 9. Similarly, the assessee has made provision of employer contribution towards the payment of provident fund for an amount of Rs. 1,58,863/-. It is the contention of the learned counsel for the assessee that contribution to Provident fund has been paid after end of the year but before the due date of filing of Income Tax Return and hence, the AO is not correct in disallowing this amount towards Provident Fund. ....