9911796707
TMI Blog2023 (8) TMI 210X X X X Extracts X X X X X X X X Extracts X X X X ..... eal :- "1. That on the facts and in the circumstances of the case and in law, the reference made by the Assessing Officer (' Ld. AO') to the Transfer Pricing Officer (' Ld. TPO') under section 92CA of the Act suffers from jurisdictional error as the Ld. AO has not recorded any reasons in the order passed based on which, the conclusion that it was "expedient and necessary" to refer the matter to the Ld. TPO for computation of arm's length price ("ALP") was reached, as is required under section 92CA (1) of the Act. 2. The Ld. C!T(A) / Ld. TPO erred on facts and circumstances of the case in determining the arm's length price adjustment to the Appellant's international transactions related to purchase of certain ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g services to it's AE's and non AE's as well. The matter was referred to TPO for the subject year wherein all the International transactions were accepted to be Arm's Length except the transaction of purchase of fixed assets. The assessee had purchased fixed assets amounting to Rs. 6,54,03,283/- in the year under consideration from its Associate Enterprises to carry out its business operation in India. The same was bench marked in the TP Study by aggregating other intentional transactions using TNMM as MAM. The said fixed assets were manufactured by the A.E in-house and was purchased by the assessee at manufacturing cost plus 5% mark up. The TPO bench marked the said transaction of purchase of fixed assets separately wherein Arm' s Length P ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppeal on the grounds mentioned above. The Ld. Counsel for the assessee submitted that the Ground No. 1 is general in nature and the same is not been pressed. 5. Ground No. 2 & 3 of the Assessee's Appeal is regarding TP Adjustment being disallowed of 5% marked up in relation to purchase of certain fixed assets (i.e. Smoke Meter and Heating Channel) and a non consideration of evidence in respect of the same. The Ld. counsel for the assessee submitted that the CIT (A) has relied upon the remand report of the TPO without appreciating that TPO therein in relation to 'Smoke Meter and Heating Channel', looked only at A.E and the third party invoice for Financial Year 2010-11 and over looked the A.E. and the third party invoice for impugned Financ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Assessee's own case for Assessment Year 2011-12, the Revenue Authorities have accepted the purchase of all fixed assets including heating channel and in Assessment Year 2011-12 CIT(A)/TPO accepted the purchase of all fixed assets including both 'heating channel' and 'smoke meter' at to be ALP. Thus submitted that the present appeal is deserves to be allowed. 7. On the other hand, the Ld. DR submitted that it is the specific case of the assessee is that the invoices produced by the assessee has not been considered in right perspective, therefore the matter may be remanded to the file of A.O. to verify the details. 8. We have heard the parties perused the material available on record and gave our thoughtful consideration. It is the specifi ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
