9911796707
TMI Blog2023 (12) TMI 771X X X X Extracts X X X X X X X X Extracts X X X X ..... ad been incurred to benefit its own operation, and not for promoting an associated enterprise (AE). Tribunal also disapproved the TPO s approach of applying the Bright Line Test in benchmarking the AMP expenses. This view was based on a judgment rendered in Sony Ericsson India Pvt. Ltd. V. CIT [ 2015 (3) TMI 580 - DELHI HIGH COURT ] and Maruti Suzuki India Ltd. v. CIT [ 2015 (12) TMI 634 - DELHI HIGH COURT ] Tribunal also highlighted the fact that before ascertaining the arms length price on an international transaction concerning AMP expenditure, the appellant/revenue would have to discharge the onus that an international transaction had occurred between the assessee and the associated enterprise. This view was also founded on t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cing Officer (TPO), concerning Advertising, Marketing and Promotion (AMP expenses) by applying the Bright Line Test was sustainable. 4.1 It is, however, not disputed by Mr Sunil Agarwal that in Assessment Year (AY) 2008-09, the Tribunal via order dated 16.11.2021 has ruled in favour of the respondent/assessee. 5. As a matter of fact, the order impugned in the instant appeal, to which we have made a reference above, extracts the relevant parts of the Tribunal s order dated 16.11.2021. For convenience, a part of the order dated 16.11.2021 which is embedded in the impugned order and concerns the respondent/assessee is extracted hereafter: 7. It is not in dispute that the case of the assessee has been that the primacy engagement of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s and that AMP expenditure had been incurred to benefit its own operation, and not for promoting an associated enterprise (AE). 7. We may note that the Tribunal also disapproved the TPO s approach of applying the Bright Line Test in benchmarking the AMP expenses. This view was based on a judgment rendered by a coordinate bench of this court in Sony Ericsson India Pvt. Ltd. V. CIT (2015) 374 ITR 118 (Del.) and Maruti Suzuki India Ltd. v. CIT (2016) 381 ITR 117. 8. The Tribunal also highlighted the fact that before ascertaining the arms length price on an international transaction concerning AMP expenditure, the appellant/revenue would have to discharge the onus that an international transaction had occurred between the assessee a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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