L & T MHI POWER TRUBINE GENERATORS PVT LTD (FROMERLY KNOWN AS L & T MHPS TURBINE GENERATORS PVT LTD) ,MUMBAI vs. ASSISTANT COMM. OF INCOME TAX CIRCLE 2(2)(1), MUMBAI

On the facts and in the circumstances of the case and in 1. On the facts and in the circumstances of the case and in 1. On the facts and in the circumstances of the case and in law, the learned CIT(A) erred in law, the learned CIT(A) erred in rejecting the primary rejecting the primary benchmarking analysis carried out by the company by benchmarking analysis carried out by the company by benchmarking analysis carried out by the company by adopting Transactional Net Margin Method (TNMM) for adopting Transactional Net Margin Method (TNMM) for adopting Transactional Net Margin Method (TNMM) for benchmarking. benchmarking.

Without prejudice to Ground No 2. Without prejudice to Ground No-01, on the facts and in the 01, on the facts and in the circumstances of the case and in law, the learned CIT( circumstances of the case and in law, the learned CIT( circumstances of the case and in law, the learned CIT(A) erred in: a. Rejecting Toshiba Power Systems Pvt Ltd on the ground that a. Rejecting Toshiba Power Systems Pvt Ltd on the ground that a. Rejecting Toshiba Power Systems Pvt Ltd on the ground that the company is consistently making losses. the company is consistently making losses. b. Accepting two companies selected by TPO as comparable b. Accepting two companies selected by TPO as comparable b. Accepting two companies selected by TPO as comparable companies for determining the ALP margin disregarding the companies for determining the ALP margin disregarding the companies for determining the ALP margin disregarding the fact that they are not fact that they are not functionally comparable to the business functionally comparable to the business of the appellant of the appellant company 2. At the outset, it is pertinent to note that the assessee company At the outset, it is pertinent to note that the assessee company At the outset, it is pertinent to note that the assessee company has submitted a letter seeking to withdraw the present appeal, has submitted a letter seeking to withdraw the present appeal, has submitted a letter seeking to withdraw the present appeal, having taken into consideration the time and resources involved in having taken into consideration the time and resources invol having taken into consideration the time and resources invol the litigation relative to the potential benefit arising from a favorable the litigation relative to the potential benefit arising from a favorable the litigation relative to the potential benefit arising from a favorable adjudication. In light of the assessee’s request for withdrawal, the adjudication. In light of the assessee’s request for withdrawal, the adjudication. In light of the assessee’s request for withdrawal, the appeal is hereby dismissed as having become infructuous. appeal is hereby dismissed as having become infructuous. appeal is hereby dismissed as having become infructuous.