Case Law Details
Denso India Pvt. Ltd Vs DCIT (ITAT Delhi)
The issue under consideration is whether rejecting the benchmarking approach and methodology followed by the Appellant for determining the ALP of the transactions pertaining to purchase of fixed assets by the Appellant to its overseas AEs is justified in law?
ITAT states that, as regards to this ground, the same has been argued extensively by the Ld. AR. But the fact remains that proper evidences were not produced before the DRP/TPO at the time of the adjudication of this issue by the assessee. The Ld. DR extensively supported the filters adopted by the TPO and relied heavily upon various decisions of various benches of the Tribunal and High Courts, but the same do not support the case of revenue either. In the present case the evidences produced before the Revenue by the assessee were insufficient. Therefore, ITAT are remanding back the entire issue to the file of the TPO/AO for verifying all the evidences and after taking into consideration the same, decide the issue accordingly. Needless to say, the assessee should provide proper documents/evidences before the TPO/AO and the assessee be given opportunity of hearing by following principles of natural justice. Hence, Ground is partly allowed. In result, the appeal of the assessee is partly allowed for statistical purpose.
FULL TEXT OF THE ITAT JUDGEMENT
This appeal is filed by the assessee against the order dated 27/11/2015 passed under Section 254/143(3) read with Section 144C of the Income Tax Act, 1961 passed by DCIT, Circle-7(1), New Delhi (Assessing Officer), for Assessment Year 2011-12.
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