Restructuring of transaction by TPO impermissible: Delhi HC

CIT International Taxation -1 Vs A.T. Kearney Ltd. (Delhi High Court) Delhi High Court held that it is impermissible for TPO to disregard the actual transaction unless it comes to the conclusion that an unrelated party would not have undertaken the same in usual course of business. Thus, TPO not permitted to engage in the restructuring of a transaction. Facts- The respondent-assessee is a management consulting subsidiary engaged in providing consultancy services to industry and its activities extend to consultancy and advisory services being provided to diverse multinational enterprises. It es...