BAIN CAPABILITY CENTRE INDIA PRIVATE LIMITED,GURGAON vs. THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 1(1), GURUGRAM, GURGAON

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ITTPA 170/DEL/2026Status: DisposedITAT Delhi30 June 2026AY 2022-233 pages

In favour of the Revenue: the assessee's appeal was dismissed. From the AI summary of this appeal.

AI SummaryDismissed

What did the Tribunal hold?

The Tribunal decided to dismiss the appeal filed by the assessee as withdrawn. The reasoning was based on the assessee's application for withdrawal, supported by the submission that the issue raised in the appeal had been resolved through subsequent rectification proceedings. The assessee's representative detailed how the initial order giving effect to the DRP's directions contained errors regarding the corrected margins of comparable companies. A rectification application under Section 154 was filed and allowed by the TPO, leading to the deletion of the transfer pricing adjustment. The AO subsequently passed a rectification order to the same effect. The revenue did not contest this position. Therefore, the Tribunal found it fit to dismiss the appeal as withdrawn, as the grounds of appeal no longer survived. No specific issue was left undecided, as the appeal was disposed of on a procedural basis.

What were the facts?

The assessee, Bain Capability Centre India Private Limited, filed an appeal before the Income Tax Appellate Tribunal (ITAT) challenging a final assessment order dated 13/12/2025, which was passed pursuant to directions from the Dispute Resolution Panel (DRP) for the Assessment Year 2022-23. The assessee later filed an application dated 26/06/2026 seeking withdrawal of the appeal. The assessee's representative explained that an order giving effect to the DRP's directions was passed by the Assessing Officer (AO)/Transfer Pricing Officer (TPO) on 10/12/2025. However, the TPO had not adopted the corrected margins of certain comparable companies as directed by the DRP. Consequently, the assessee filed a rectification application under Section 154 of the Income Tax Act, 1961, which was allowed by the TPO on 17/03/2026, deleting the transfer pricing adjustment. The AO subsequently passed a rectification order on 04/06/2026, also deleting the addition.

What were the issues?

1. Whether the appeal filed by the assessee is to be dismissed as withdrawn, given the subsequent rectification of the assessment order. The assessee argued that the issue raised in the appeal no longer survives due to the rectification proceedings. The assessee's representative stated that the AO/TPO's order giving effect to the DRP's directions on 10/12/2025 did not incorporate the corrected margins of comparable companies as directed by the DRP. Following this, the assessee filed a rectification application under Section 154 of the Act. This application was allowed by the TPO on 17/03/2026, leading to the deletion of the transfer pricing adjustment. The AO then passed a rectification order on 04/06/2026, deleting the impugned addition. Therefore, the assessee prayed for the withdrawal of the appeal as the grounds for appeal were rendered moot. The revenue (CIT DR) had nothing to controvert the assessee's submission.

Which sections of the Income-tax Act were involved?

Section 154

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI

Before: MS. KAVITHA RAJAGOPAL & SMT. RENU JAUHRI

For Appellant: Adv & Ms
For Respondent: Shri Mahesh Kumar, CIT (DR)
Hearing: 29.06.2026Pronounced: 30.06.2026

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI DELHI BENCH ‘I’: NEW DELHI BEFORE MS. KAVITHA RAJAGOPAL, JUDICIAL MEMBER AND SMT. RENU JAUHRI, ACCOUNTANT MEMBER IT (TP)A No.170/Del/2026 (Assessment Year: 2022-23) Bain Capability Centre India The Assistant Commissioner of Private Limited Income Tax, Circle 1(1), Vs. 4th Floor, Building 8, tower B, DLF Gurugram, Haryana Cyber City, Phase-II, Gurgaon PAN:AACCB4590M (Appellant) : (Respondent) Assessee by : Sh. Rohit Tiwari, Adv & Ms. Tanya Adv Respondent by : Shri Mahesh Kumar, CIT (DR) Date of Hearing : 29.06.2026 Date of Pronouncement : 30.06.2026 O R D E R Per Kavitha Rajagopal, JM: This appeal is filed by the assessee challenging the final assessment order dated 13/12/2025 pursuant to the direction of the Hon’ble DRP relevant to Assessment Year 2022-23.

2.

On the basis of the application filed by the assessee dated 26/06/2026 for withdrawal of the present case, we hereby proceed to dispose of this appeal without getting into the facts of the case as the same is not relevant for passing of this order.

IT(TP)A No. 170/Del/2026 Bain Capability Centre India Pvt. Ltd. 3. Before us, the Ld. Authorized Representative (in short “Ld. AR)” for the assessee submitted that for the order giving effect to the direction of Hon’ble DRP, the Ld. A.O/TPO passed an order dated 10/12/2025, wherein the final assessment order, the corrected margins of certain comparable companies were not adopted by the Ld. TPO as per the direction of Hon’ble DRP, subsequent to which the assessee had filed a rectification application dated 26/06/2026 u/s 154 of the Act before the Ld. TPO for rectification of the mistake apparent from record and the Ld. TPO vide rectification order dated 17/03/2026, allowed the rectification application filed by the assessee thereby deleting the transfer pricing adjustment, consequent to which the Ld. A.O passed the rectification order u/s 154 of the Act dated 04/06/2026, deleting the impugned addition. The assessee, therefore, prays for withdrawal of the present appeal as the issue raised in the appeal no longer survives.

4.

On perusal of the said application and where the Ld. DR had nothing to controvert on this, we deem it fit to dismiss the appeal filed by the assessee as withdrawn.

3.

In the result, the appeal filed by the assessee is hereby dismissed as

withdrawn.

Order pronounced in the open court on 29 .06.2026

Sd/- Sd/- (RENU JAUHRI) (KAVITHA RAJAGOPAL) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 30 .06.2026 Reshma Naheed, Sr.P.S

IT(TP)A No. 170/Del/2026 Bain Capability Centre India Pvt. Ltd.

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