Transfer Pricing: Share application money cannot be treated as loan for taxing notional interest despite non-allotment of shares for long time

Assessee has challenged the addition made by the A.O. and sustained by the ld. CIT(A) by way of TP adjustment on account of interest chargeable on the amount of share application money paid to its AE and lying unutilized for a period beyond 60 days treating the same as loan. As agreed by the ld. Representatives of both the sides, the common issue involved in ground No. 2 of the assessee’s appeals for both the years under consideration is squarely covered in favour of the assessee by the latest decision of Delhi Bench of ITAT in the case of Bharti Airtel Ltd., vs. ACIT rendered vide its o...