TP- Unrelated Internal comparable supersede External comparable

Brief of the Case I.T.A No. 1292/Bang/2010 ITAT Bangalore held in the case of M/s. Intergarden (India) P. Ltd. vs. ACIT that Revenue has not disputed the fact that effective rate of interest paid by assessee in India was 6.62% on loans whereas  Interest paid by assessee on loans taken from AE abroad was 5%. This was below the rate of interest assessee was paying on loans taken within India. When internal CUP with unrelated parties is available, it should be given precedence over external CUP. We are of the opinion that no adjustment ought to have been done on the interest paid by the assessee...