Transfer Pricing: No penalty for mere difference in level of capacity utilization

PCIT Vs. M/S Giesecks & Devrient (India) Pvt. Ltd. (Delhi High Court) The appeal is filed by the revenue against the order passed by the Hon’ble ITAT Delhi (I-2 Bench) in ITA No. 3864/DEL/2015. Background of the Case: M/S Giesecks & Devrient (India) Pvt. Ltd (hereinafter referred as the “Respondent”) is a wholly owned subsidiary of Giesecke & Devrient Gmbh (hereinafter referred to as ‘G&D GmbH’). During the Assessment Year 2007-08, the respondent was engaged in the business of wholesale trading of currency verification and processing systems (‘CVPS’), their mainte...