TOSHIBA INDIA PVT LTD vs. COMMISSIONER OF INCOME TAX-VI

$~30 & 32 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 54/2015 TOSHIBA INDIA PVT LTD. ..... Appellant Through Ms. Rashmi Chopra, Adv. versus COMMISSIONER OF INCOME TAX-VI ..... Respondent Through Mr. Rohit Madan, Adv. + ITA 73/2015 COMMISSIONER OF INCOME TAX -9(ERSTWHILE CIT-VI ..... Appellant Through Mr. Rohit Madan, Adv. versus TOSHIBA INDIA PVT.LTD. ..... Respondent Through Ms. Rashmi Chopra, Adv. CORAM: HON'BLE MR. JUSTICE S. RAVINDRA BHAT HON'BLE MR. JUSTICE R.K.GAUBA O R D E R % 22.04.2015 1. This is the appeal of the assessee directed against the ITAT’s order dated 15.7.2014 in ITA No.1053/Del/2014. The ITAT had remitted the matter to the TPO to decide the question of transfer pricing adjustments on account of AMP expenses, which in this case are distributor expenses. In light of the previous special bench ruling in LG Electronics India Pvt. Ltd. V. ACIT (ITA No. 5140/DEL/2011 reported in (2013) 152 TTJ This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/04/2026 at 22:03:54

(Del)(SB)273) and the judgment of the Division Bench of this Court in Sony Ericsson Mobile Communications India Pvt. Ltd. V. Commissioner of Income Tax (ITA No. 16/2014 decided on 16th March, 2015), it is held that distributor expenses are allowable. The matter is therefore remitted to the ITAT for due consideration. Parties are directed to be present before the ITAT on 21.05.2015. 2. In ITA 73/2015– which is also directed against the same order (as in ITA No.54/2015), the first question i.e. the remand now stands covered by the direction in ITA No.54/2015. 3. The second question is with respect to the ITAT’s order allowing the assessee’s claim based upon the Supreme Court ruling in Rotork Controls India Pvt. Ltd. V. CIT (2009) 314 ITR 62. This issue concerns deduction on account of provision for warranty. The ITAT had permitted the assessee to urge this additional ground. We do not discern any illegality in this approach and confirm the order of the ITAT which had merely remitted the matter for consideration to the AO. ITA No.54/2015 is accordingly disposed of in the above terms. S. RAVINDRA BHAT, J R.K.GAUBA, J APRIL 22, 2015 vld This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/04/2026 at 22:03:54