No Section 271G Penalty Without Transfer Pricing Adjustment

ACIT Vs Eurostar Diamonds India Pvt Ltd. (ITAT Mumbai) The Income Tax Appellate Tribunal (ITAT) Mumbai delivered a notable judgment in the case of ACIT vs Eurostar Diamonds India Pvt Ltd. concerning the levy of penalty under section 271G of the Income-tax Act, 1961 (the Act). This case revolves around the failure of the taxpayer to furnish certain information required for Transfer Pricing (TP) documentation. Here’s a detailed analysis: Facts of the Case: Eurostar Diamonds India Pvt Ltd., the assessee, had engaged in various international transactions, which were benchmarked using the Tr...