Matter was restored related to disallowance of ₹5.11 Crore Forex Loss on ECB Settlement

TDK India Pvt. Ltd. Vs DCIT (ITAT Kolkata) Conclusion: The issue of ₹5.11 crore forex fluctuation loss on the settlement of External Commercial Borrowings (ECB) was restored back to AO for re-examination as adjustment could not be made for the comparables due to non-availability of reliable data, the foreign currency gain should be excluded from operating income/expense of the assessee as well as that of the comparables while calculating the PLI for determining the Arm’s length price in order to ensure a consistent and reliable comparison. Held: Assessee-company had incurred a forex fluctu...