TaxTMI 
TaxTMI 
2026 (6) TMI 94
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....s 143(3) r.w.s. 144C of the Income Tax Act, 1961 (hereinafter 'the Act') n pursuance of directions of the ld. Dispute Resolution Panel-1 (in short 'ld. DRP') dated 31.08.2015 pertaining to Assessment Year 2011-12. 2. The assessee has raised following grounds of appeal:- "1. The order dated November 30, 2015, passed by the Learned Income Tax Officer, Ward 6(2), New Delhi (hereinafter referred as "Ld. AO') under section 143(3) read with section 144C of the Income Tax Act, 1961 (hereinafter referred as the Act) is bad in law and on the facts and circumstances of the case. 2. The reference made by the Ld. AO to the Learned Additional Commissioner of Income Tax, TPO-1(1), New Delhi (hereinafter referred as Ld. TPO) s....
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....7. The Ld. AO/Ld. TPO/Hon'ble DRP have erred in rejecting the quantitative filters adopted by the appellant, and adopting inappropriate quantitative filters for carrying out a fresh comparability analysis. 8. The Ld. AO/Ld. TPO/Hon'ble DRP have erred in arbitrarily rejecting certain companies selected by the appellant as comparables in terms of functions performed, assets employed and risks assumed, and in accepting certain companies which are not comparable to the appellant, for determining ALP. 9. The Ld. AO/Ld. TPO / Hon'ble DRP have erred in accepting companies wiht exceptionally high operating margins as comparables of the appellant on a arbitrary basis. 10. The Ld. AO/Ld. TPO / Hon'ble DRP have e....
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....that the said comparison is none of the 5 prescribed methods under the Indian transfer pricing regulations. 17. The Ld. AO/Ld. TPO have erred in fact and in law by considering the arm's length value of some of the fixed assets imported by the appellant from its associated enterprises during the financial year 2010-11 as Nil, and thereby making additions on this ground. 18. The Ld. AO/Ld. TPO / Hon'ble DRP have erred in fact and in law by not taking cognizance of the evidences submitted by the appellant substantiating that no mark-up has been charged by the associated enterprises for purchase of fixed assets, as also provided in the invoices submitted by the appellant. 19. The Ld. AO/Ld. TPO / Hon'ble DRP h....
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....ional Transaction ALP determined by the assessee ALP determined by the AO Adjustment u/s 92CA on directions of DRP 1 Provision of ITES 2,47,98,64,423 2,60,38,57,644 38,84,19,990 2. Provision of software development 24,12,09,756 25,32,70,244 1,70,89,876 3 Purchase of fixed assets 4,76,42,762 NIL 4,76,42,762 4 Receivables NIL 5,43,66,086 2,82,16,110 Total 48,13,68,738 4. At the outset, the ld. Counsel submitted that the issues at hand are covered in favour of the assessee in its own case vide order of the Tribunal for AY 2010-11, and AY 2012-13 dated 13.04.2022 reported in (2022) 141 taxmann.com 386 (Delhi-Tri). 5. Per contra, the ld....
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....l for the assessee has relied on the several judicial pronouncements to support his contentions. Therefore, submitted that, the margin accepted in APA resolution (15.50%) should be applied to benchmark the ITES services rendered by the appellant to Colt Luxembourg as against the margin of 26.60% computed by the Ld. TPO. 31. The above issue has already been dealt and decided by us of Assessee's own case in ITA No.536/Del/2015 for AY 2010-11 in favour of the assessee. Ergo, we allow the Grounds of appeal No. 1 to 11 of present appeal." 7. Grounds 14-16 are covered by Grounds 14-16 in para 14-16 of ITAT order passed in AY 2010-11 as follows: "14. The Grounds No. 14 to 16 are in respect of interest on receivables. The L....
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....ies in respect of the addition pertaining to UK got settled at 3 months average Euribor plus 200 basis points applied on receivables beyond 90 days, we direct the AO/TPO to apply 3 months average Euribor plus 200 basis points on the receivables received beyond 90 days in respect of outstanding from Colt Luxembourg. Accordingly, allow the Grounds No. 14 to 16 for statistical purpose." 8. Ground 17-20 are covered by ground 17-20 in para 17-21 of ITAT order passed for AY 2010-11 as follows: "20. On hearing both the sides, we are agreeing with the argument advanced by the Ld. AR. In the case of Coastal Energy (P.) Ltd. v. Asstt. CIT [2011] 12 taxmann.com 355/46 SOT 286 (URO) (Chennai), it is held that, the custom authorities are ass....