TaxTMI 
TaxTMI 
2026 (5) TMI 1346
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....e Tribunal, Pune (for short 'ITAT') in Income Tax Appeal No. 359/PUN/2014 dismissing the Appeal filed by the Revenue. Although as many as six substantial questions of law have been projected by the Appellant-Revenue in the memorandum of the Appeal, yet, after going through the same, we are of the view that core question of law is substantially the same which is:- "(A) Whether on the facts and in the circumstances of the case and in law, the Hon'ble ITAT, Pune was justified in upholding the aggregation approach followed by the assessee for benchmarking 13 different types of international transactions belonged to different manufacturing as well as trading segments ?" 3. The facts of the case, shorn of unnecessary details, are that....
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....tand of the assessee against the assessment made by the Assessing Officer. The Appeal preferred by the Revenue before the learned ITAT was also rejected by the impugned judgment and order dated 20/09/2017. Hence, this Appeal by the Revenue. 5. The stand of the Assessee before the authority was that it had followed the aggregation approach for benchmarking 13 different types of International transactions. 6. By referring to a decision of this court rendered in the case of Cummins India Ltd. vs. Assistant Commissioner of Income Tax reported in (2023) 173 Taxmann.com 354, the learned Counsel for the Respondent/Assessee submits that in view of the observations made in paragraph 11 of the said decision, which has attained finality in the e....
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....inbelow:- "2.2.19 We have carefully considered the facts and the arguments of the learned TPO as well as of the assessee. According to us, in the facts of the case, the assessee's approach of aggregation of transaction appears to be correct. This is because, the assessee being manufacturer of unique packaging material, it has chosen to carry on its business by way of creating demand for its packaging material. According to its business strategy, the assessee sells its machines at lower price and thereby creates demand for packaging material during the entire life of use of machinery. In other words; the assessee seeks to earn profit: from selling packaging material on continuous basis. We find that although the assessee has sol....
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....ri that having accepted the TNMM method as the most appropriate, it was not open to the TPO to subject only one element, i.e. payment of royalty, to an entirely different CUP method. The adoption of a method as the most appropriate one assures the applicability of one standard or criteria to judge an international transaction. Each method is a package in itself, as it were, containing the necessary elements that are to be used as filters to judge the soundness of the international transaction in an ALP fixing exercise. If this were to be disturbed, the end result would be distorted and within one ALP determination for a year, two or even five methods can be adopted. This would spell chaos and be detrimental to the interests of both Assessee....