TaxTMI 
TaxTMI 
2022 (2) TMI 1533
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....dated 29.10.2018 which was passed in consequence to directions of DRP-2, Bengaluru, u/s.144C(5) of the Act, dated 07.09.2018. 2. At the outset, Shri Vikaram Vijayaram, the ld. Counsel for the assessee drew our attention to the petition filed for admission of additional grounds raised under Rule 11 of Income Tax Appellate Tribunal Rules, vide letter dated 21.09.2021. The ld. counsel for the assessee particularly drew our attention to Ground No.22 relating to the issue of Advance Pricing Agreement entered into subsequently for assessment years 2015-16 to 2019-20 and accepted by the Department. The ld. counsel drew our attention to Ground No.22, which reads as under:- "Ground No.22: As facts of case and applicable law remain identi....
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....d further, the additional ground may kindly be admitted and decided on merits. The ld.counsel for the assessee, on a query from the Bench replied that additional ground Nos.23 & 24 and transfer pricing grounds i.e., Ground Nos.1 to 7 in regard to issue No.1 and Ground Nos. 8 to 14 in regard to issue No.2 of TP need not be adjudicated in case, the first issue is admitted and adjudicated on merits. For admissibility of additional grounds, ld. counsel for the assessee relied on the decisions of ● Hon'ble Supreme Court in the case of National Thermal Power Co Ltd, 229 ITR 383 (SC) ● Hon'ble Supreme Court in the case of CIT vs. Associated Stone Industries, 224 ITR 560 (SC) ● Hon'ble Delhi High Court i....
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....o gone through the facts mentioned by the TPO in its order as well as considered by the DRP. As pointed out by the ld. counsel during the course of hearing, these transactions as per Advance Pricing Agreement is covered as per para 3. The same reads as under:- "3. Covered Transaction(s) The international transactions of: a) import of raw materials and components used in manufacturing of Electronic components; b) export of finished goods; c) Services received / services rendered (incidental to the manufacturing business); and d) Receivable / payable" In this year also, i.e., financial year 2013-14 relevant to assessment year 2014-15 facts are exactly identical as per the orders of lower authori....
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.... other TP issues raised by way of Ground Nos.1 to 7 on the issue of upward transfer pricing adjustment in the case of manufacturing operations and Ground Nos.8 to 14 on the issue of upward transfer pricing adjustment in the case of interest on outstanding receivables will become academic only. Hence, he requested that this matter may be restored back to the file of AO for adjudication of Advance Pricing Agreement and in case, that is allowed in favour of assessee, then all other issues will become academic and need no adjudication. But he stated that in case, this issue goes against the assessee then the AO be directed to adjudicate the other TP issues also afresh. 7. Per contra, the ld.CIT-DR has not made any serious arguments on this. ....
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....s.10AA of the Act in connection with the above mentioned adjustment / disallowance be increased as a consequence. For this, assessee has raised following Ground No.18:- 18. Without prejudice to the above, the Hon'ble DRP has erred in law by not granting deduction under section 10AA of the Act in connection with the above mentioned adjustment. 10. We have heard rival contentions and gone through facts and circumstances of the case. The ld.counsel for the assessee before us filed additional supporting evidences under Rule 29 of Income Tax Appellate Tribunal Rules, 1963 and stated the fact that the assessee has submitted a detailed break-up of all expenses incurred in foreign currency, furnished copy of ledgers and sample invoices ....