DRP Wrongly Rejected Vital Evidence; Matter Remanded for Fresh TP Adjudication

Deloitte Consulting India Projects LP Vs Asstt. Director of Income Tax (ITAT Hyderabad) Hyderabad ITAT dealt with a TP adjustment of Rs.2.67 crore relating to services rendered to AE under the USAID “RISE/GTG” clean-energy program. Assessee submitted that the AE itself was remunerated by USAID strictly on cost + 6%, and the assessee was remunerated on an identical back-to-back cost + 6% structure; hence no further TP mark-up could arise. TPO rejected the assessee’s contention solely on the ground that the original USAID–AE agreement was not furnished. Assessee later produced the agreem...