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| The Tax Publishers2020 TaxPub(DT) 1175 (Bom-HC) : (2020) 421 ITR 0001 INCOME TAX ACT, 1961
Section 92C
Tribunal following the decision in Credit Lyonnais v. ADIT [ITA No. 1935/Mum/2007, dt. 30-9-2013] : 2014 TaxPub(DT) 0402 (Mum-Trib), had remanded the issue back to AO for fresh decision in accordance with law and thus no error or infirmity in the view taken by Tribunal
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Transfer Pricing - Computation of arm's length price - TPO determining the arms length price of the syndication fee at 100% -
During assessment proceeding, TPO passed an order under section 92CA(3) determining the arms length price of the syndication fee at 100%. He held that entire amount was received by assessee and an addition was made to the income of assessee. CIT(A) upheld the findings of AO. However, Tribunal remanded the matter back to AO. Held: As decided in Credit Lyonnais v. ADIT [ITA No. 1935/Mum/2007, dt. 30-9-2013] : 2014 TaxPub(DT) 0402 (Mum-Trib), TPO as well as CIT(A) had not brought out any comparable for determination of the arms length price but took the total income comprising interest as well as other fees charged by foreign branches for allocation/attribution to the assessee. Following the said decision, Tribunal remanded the issue back to AO for fresh decision in accordance with law. No error or infirmity in the view taken by Tribunal
REFERRED : RBS Financial Services (India) Pvt. Ltd. & Ors. v. ACIT [ITA No.5997/Mum/2013, dt. 2-1-2017] Calyon Bank &Ors. v. DDIT & Anr. [ITA No. 4474/M/2009, dt. 21-3-2014] Credit Lyonnais v. ADIT [ITA No. 1935/Mum/2007, dt. 30-9-2013] : 2014 TaxPub(DT) 0402 (Mum-Trib)
FAVOUR : Matter remanded
A.Y. :
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