2021 (5) TMI 1011

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..... as well as the DRP have rightly taken the foregoing SBI rate s benchmark involving the short term deposits - HELD THAT:- We find no merit in the instant argument as such a short term deposit cannot be taken at par with an international transaction u/s.92B of the Act since the latter involves foreign currency and overseas market conditions. In addition to this, learned lower authorities have also .....

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..... corporate guarantee indeed forms an international transaction and covered by the explanation to section 92B with retrospective effect. There is hardly any issue that the departmental authorities have applied the foregoing Explanation with retrospective effect qua issue of a corporate guarantee which also included the impugned interest on receivables. The assessee s legal argument is declined th .....

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..... law and on facts in making Arm s Length Price (ALP) adjustments of ₹ 7,32,48,576/- pertaining to interest on receivables qua its international transactions with the overseas Associated Enterprise (AE). Suffice to say, it transpires at the outset that we need not dwell deeper qua the relevant facts pertaining to the instant issue. We find that assuming but not accepting the learned lower auth .....

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..... be taken at par with an international transaction u/s.92B of the Act since the latter involves foreign currency and overseas market conditions. In addition to this, learned lower authorities have also not adopted any uncontrolled party/comparable in the very segment as well so as to come to the conclusion that the assessee s receivables in case of overseas AEs involved more than the market practic .....

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..... y issue that the departmental authorities have applied the foregoing Explanation with retrospective effect qua issue of a corporate guarantee which also included the impugned interest on receivables. The assessee s legal argument is declined therefore. Necessary computation to follow as per law. No other ground has been pressed before us. 4. This assessee s appeal is partly allowed. Order pr .....

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