Transfer Pricing – DEPB benefit should be considered as part of turnover for working out profit margin

Explore the impact of DEPB benefit on profit margin in transfer pricing. Learn why TP adjustment was ruled unnecessary in this detailed analysis. Case: Welspun Zucchi Textiles Ltd. It is observed that the DEPB benefit was not taken into consideration by the AO/TPO for the purpose of working out the profit margin of the assessee whereas such benefit was taken into account in the comparable cases while working out their profit margin as found by the learned CIT(Appeals). Before us, nothing has been brought on record to controvert or rebut this finding recorded by the learned CIT(Appeals) and thi...