ACIT, NEW DELHI vs. M/S. BBC WORLD INDIA PVT. LTD., NEW DELHI
ITA No.3489/Del/2016
IN THE INCOME TAX APPELLATE TRIBUNAL
DELHI BENCH “H” NEW DELHI
BEFORE SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER
AND SHRI RAMIT KOCHAR, ACCOUNTANT MEMBER
आ.अ.सं/.I.T.A No.3489/Del/2016
िनधा रणवष /Assessment Years:2008-09
ACIT,
Circle-4(1),
Room No.398D,
C.R. Building,
New Delhi.
बनाम
Vs.
BBC World India Pvt. Ltd.,
(Now known as M/s BBC Global News India
Pvt. Ltd.),
E-21, Hauz Khas Market, New Delhi.
PAN No.AABCB5209Q
अपीलाथ Appellant
यथ/Respondent
Assessee by Shri Darpan Kriplani, Adv.
Revenue by Shri Jitender Singh, Sr. Dr
सुनवाईकतारीख/ Date of hearing:
12.03.2025
उोषणाकतारीख/Pronouncement on 12.03.2025
आदेश /O R D E R
PER C.N. PRASAD, J.M.
The appeal is filed by the Revenue against the order of the Ld.CIT(Appeals)-42, New Delhi dated 21/03/2016 for the AY 2008-09. Revenue raised the following grounds: -
1. “Whether in the facts and circumstances of the case the Ld. CIT(A) was right in by allowing the assessee to benchmark an international transaction by artificially creating segment where the requirement of law is that arm’s length price of every international transaction has to be determined by adopting entity wise profitability for benchmarking analysis.
2
Whether in the facts and circumstances of the case the Ld. CIT(A) was right in law in holding that the expense incurred by the assessee on behalf of its AEs is not required to be routed through the P&L Account of the assessee by plainly citing the previous year adjudication.
Whether in the facts and circumstances of the case the Ld. CIT(A) was right in not appreciating that TPO has routed the reimbursement expense through the PL account of the assessee because the assessee has rendered these services of the benefit of its AE and under arm’s length circumstances any enterprise rendering such services solely for the benefit of the recipient would charge a sum on the expense incurred on rendering services which would include an agreed mark-up.
The appellant craves leave for reserving the right to amend, modify, alter, add or forgo any ground(s) of appeal at any time before or during the hearing of this appeal.”
The Ld. Counsel for the assessee, at the outset, submits that the disputed addition in the Revenue’s appeal is only of Rs.1,11,33,872/- which was deleted by the Ld. CIT(Appeals) in respect of addition made by the TPO u/s 92CA(5) of the I.T. Act. The Ld. Counsel for the assessee filed copy of the consequential order dated 15/11/2016 passed by the Assessing Officer giving effect to the order of the Ld. CIT(Appeals)-42 vide order dated 31/03/2016. 3. On perusal of the consequential order passed by the Assessing Officer giving effect to the order of the Ld. CIT(Appeals) it is observed that the grievance of the Revenue in this appeal is with 3
respect to the deletion of addition of Rs.1,11,33,872/- and the tax effect would be less than Rs.60 lakhs. Therefore, the present appeal filed by the Revenue is not maintainable in the light of the CBDT
Circular No.09 of 2024 dated 17/09/2024. The appeal is accordingly dismissed.
4. In the result, the appeal filed by the Revenue is accordingly dismissed.
Order pronounced in the open court on 12.03.2025 (RAMIT KOCHAR) (C.N. PRASAD)
ACCOUNTANT MEMBER JUDICIAL MEMBER
Order signed on: 19.03.2025
Dated: 19.03.2025
*Kavita Arora, Sr. P.S.
Copy of order sent to- Assessee/AO/Pr. CIT/ CIT (A)/ ITAT
(DR)/Guard file of ITAT.
By order