Cherry-Picked Comparables Rejected Assessees Set Ignored – TP Matter Sent Back for Fresh Benchmarking

KGS Sourcing India Pvt. Ltd Vs ACIT (ITAT Delhi) ITAT Delhi partly allowed the assessee’s appeal for AY 2018-19 in KGS Sourcing India Pvt. Ltd., holding that the AO/TPO adopted an unsustainable approach in comparable selection. The authorities included Info Edge (India) Ltd., Majestic Research Services & Solutions Ltd. and AXS Online Pvt. Ltd. without considering settled judicial principles on turnover filters, functional dissimilarity and employee-cost filters. More importantly, the Tribunal noted that the TPO completely ignored 28 comparables proposed by the assessee, despite detailed ...