No addition for mere under-invoicing of sales to sister concern

ITO Vs Bajaj Herbals Pvt. Ltd. (ITAT Ahmedabad) Conclusion: Addition made on account of under-invoicing of sales to sister concern was not justified unless and until export sales to sister concern were sham transaction. Held: During the previous year assessee-company made export sales of Rs. 34,72,784/- to M/s. Bajaj Herbal FZE LLP (BHFZE) which was appellant’s associated concern. Assessee also exported similar product to third parties. AO compared the sale prices made to the sister concern i.e. M/s. BHFZE and other such concern and tabulated the average price of sales with difference and wo...