Mentor Graphics (Noida) (P) Ltd. v. DCIT

109 ITD 101Income Tax Appellate Tribunal2007#1345 most cited

What is Mentor Graphics (Noida) (P) Ltd. v. DCIT authority for?

A working capital adjustment is mandated and a prerequisite for correctly determining the Arm's Length Price (ALP) under Rule 10B(1)(e) and Rule 10B(3) of the Income Tax Rules, 1962. This adjustment accounts for differences in working capital and outstanding receivables between the assessee and comparable companies.

85

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2015 to 2026.

Also referred to as

Mentor Graphics (Noida) (P) Ltd. v. DCIT · 109 ITD 101 · ITAT 2007 · transfer pricing adjustment · working capital adjustment · arm's length price · Rule 10B(3) · Section 92B · comparable companies · outstanding receivables

Sections most often in play

Section 143(3)Section 144BSection 144C(13)Section 92CA(3)Section 92BSection 10B(3)Section 144C(5)Section 234C

Issues it is cited on

interest on outstanding receivablesworking capital adjustmenttested partycomparable companiesbenchmarking analysissection 92bmost appropriate methodarm's length pricetransfer pricing adjustmentsection 144c(13)tnmmdirections of the drp

Judgments citing Mentor Graphics (Noida) (P) Ltd. v. DCIT

Samsung India Electronics Pvt. Ltd., Gurgaon vs. Addl. CIT, New Delhi

ITA 5315/DEL/2011[2007-08]Status: DisposedITAT Delhi04 Oct 2019AY 2007-08

Bench: Shri Amit Shukla & Shri Prashant Maharishi

For Appellant: S/Shri Himanshu Sinha, ShriFor Respondent: Shri H.K. Choudhary, CIT-D.R

…R(T) 546 (Delhi - Trib.) (para 162.1) (f) _________________________________ Qualcomm India Pvt. Ltd. v. ACIT Circle 14(1) ITA No.5239/DEL/ 2010, [2014] 147 ITD 17 (Delhi - Trib.) (para 41) (g) ________________________________ Mentor Graphics (Noida) (P) Ltd. (109 ITD 101) 135. The Ld. CIT (DR) relied on the orders of the lower authorities. 136. The issue of grant of adjustment for difference in levels of working capitals between the assessee and the comparable companies is now well recognized by this Tribunal and is no longer res-integra. Differences in inventory levels, credit period allowed by the suppliers a…

Ranbaxy Laboratories Ltd., Delhi vs. DCIT, New Delhi

In the result, the appeal of the assessee in IT(TP) A No

ITA 781/DEL/2015[2010-11]Status: DisposedITAT Ahmedabad05 Sept 2019AY 2010-11

Bench: Justice P.P. Bhatt & Shri Waseem Ahmed1. आयकर अपील सं./It(Tp)A No. 1782/Del/2014 2. आयकर अपील सं./It(Tp)A No. 781/Del/2015 ("नधा"रण वष"/Assessment Years : 2009-10 & 2010-11) Ranbaxy Laboratories Ltd. The Dcit बनाम/ 12Th Floor, Devika Tower Circle-21(1), New Vs. 6, Nehru Place, New Delhi Delhi/ 110 019 Addl.Cit Range-15 New Delhi "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aaacr0127N .. (अपीलाथ"/Appellant) (""यथ" / Respondent) अपीलाथ" ओर से/ Appellant By : Shri S.N.Soparkar, Shri Vartik Chokshi, Ms.Urvashi Shodhan & Shri P.Shah, Ars ""यथ" क" ओर से/Respondent By: Shri Mahesh Shah, Cit-Dr

For Appellant: Shri S.N.Soparkar, Shri Vartik ChokshiFor Respondent: Shri Mahesh Shah, CIT-DR
Section 143(3)Section 144CSection 92D

…o the international transaction to align them to the arm's length price. This is a condition precedent for user of the multiple year financial data. Reliance is placed on the following decisions:- AZTEC Software 107 ITD (AT) 141(SB) (Bang). i) Mentor Graphic 109 ITD 101 (Del) ii) Honeywell Ltd. 209-TIOL-104 (AT) (Pune) iii) The proviso can be invoked only if it is established that earlier year’s circumstances do have a bearing on the performance of the year under audit. In Schefenacker Motherson Ltd. vs. ITO 2009-TIOL-376-ITAT Delhi has also upheld the use of current year data. In view of this, only single yea…

M/S. Ranbaxy Laboratories Limited, New Delhi vs. Addl. CIT, New Delhi

In the result, the appeal of the assessee in IT(TP) A No

ITA 1782/DEL/2014[2009-10]Status: DisposedITAT Ahmedabad05 Sept 2019AY 2009-10

Bench: Justice P.P. Bhatt & Shri Waseem Ahmed1. आयकर अपील सं./It(Tp)A No. 1782/Del/2014 2. आयकर अपील सं./It(Tp)A No. 781/Del/2015 ("नधा"रण वष"/Assessment Years : 2009-10 & 2010-11) Ranbaxy Laboratories Ltd. The Dcit बनाम/ 12Th Floor, Devika Tower Circle-21(1), New Vs. 6, Nehru Place, New Delhi Delhi/ 110 019 Addl.Cit Range-15 New Delhi "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aaacr0127N .. (अपीलाथ"/Appellant) (""यथ" / Respondent) अपीलाथ" ओर से/ Appellant By : Shri S.N.Soparkar, Shri Vartik Chokshi, Ms.Urvashi Shodhan & Shri P.Shah, Ars ""यथ" क" ओर से/Respondent By: Shri Mahesh Shah, Cit-Dr

For Appellant: Shri S.N.Soparkar, Shri Vartik ChokshiFor Respondent: Shri Mahesh Shah, CIT-DR
Section 143(3)Section 144CSection 92D

…o the international transaction to align them to the arm's length price. This is a condition precedent for user of the multiple year financial data. Reliance is placed on the following decisions:- AZTEC Software 107 ITD (AT) 141(SB) (Bang). i) Mentor Graphic 109 ITD 101 (Del) ii) Honeywell Ltd. 209-TIOL-104 (AT) (Pune) iii) The proviso can be invoked only if it is established that earlier year’s circumstances do have a bearing on the performance of the year under audit. In Schefenacker Motherson Ltd. vs. ITO 2009-TIOL-376-ITAT Delhi has also upheld the use of current year data. In view of this, only single yea…

Star Internaitonal Movies Ltd, Mumbai vs. Asst CIT (It) 4(2)(2), Mumbai

In the result, the ground taken by the assessee is allowed for statistical purposes

ITA 1637/MUM/2016[2011-12]Status: DisposedITAT Mumbai22 Jul 2019AY 2011-12

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपीऱ सं./I.T.A. No.1519/Mum/2016 (नििाारण वर्ा / Assessment Year: 2011-12) बिाम/ Channel V Music Networks Deputy Commissioner Of Income-Tax(International Limited Taxation)- 2(1)(1) Partnership V. Scindia House, C/O Star India Private Ltd., Mumbai- 400038 Star House, Urmi Estate, 95, Ganpat Rao Kadam Marg, Lower Parel (W), Mumbai-400013 स्थायी ऱेखा सं./ Pan :Aaefc6136H (अपीऱाथी /Appellant) (प्रत्यथी / Respondent) ..

For Appellant: Shri. Porus KakaFor Respondent: Shri. Pavan K Beerla (DR)
Section 143(3)Section 144C(1)Section 144C(10)Section 144C(13)Section 144C(5)Section 253Section 92C

…nsaction to align them to the arm's length price. This Is a condition precedent for user of the multiple year financial data. Reliance is placed on various decisions in this regard including (i) AZTEC Software 107 ITD (AT) 141 (SB) (Bang), (it) Mentor Graphic 109 ITD 101 (Del) and (iii) Honeywell Ltd. 209-TI0L-104 (AT) (Pune). In view of the same, the assessee's contention is rejected. It may be mentioned that the issue is also covered against the assessee by the judgement delivered by the Hon'ble High Delhi in the case of Chryscapital Investment Advisors (India) Pvt. Ltd. in ITA NO 417/2014.‖ The DRP has also co…

Channel Music Networks Ltd Partnership, Mumbai vs. DCIT (It) 2(1)(1), Mumbai

In the result, the ground taken by the assessee is allowed for statistical purposes

ITA 1519/MUM/2016[2011-12]Status: DisposedITAT Mumbai22 Jul 2019AY 2011-12

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपीऱ सं./I.T.A. No.1519/Mum/2016 (नििाारण वर्ा / Assessment Year: 2011-12) बिाम/ Channel V Music Networks Deputy Commissioner Of Income-Tax(International Limited Taxation)- 2(1)(1) Partnership V. Scindia House, C/O Star India Private Ltd., Mumbai- 400038 Star House, Urmi Estate, 95, Ganpat Rao Kadam Marg, Lower Parel (W), Mumbai-400013 स्थायी ऱेखा सं./ Pan :Aaefc6136H (अपीऱाथी /Appellant) (प्रत्यथी / Respondent) ..

For Appellant: Shri. Porus KakaFor Respondent: Shri. Pavan K Beerla (DR)
Section 143(3)Section 144C(1)Section 144C(10)Section 144C(13)Section 144C(5)Section 253Section 92C

…nsaction to align them to the arm's length price. This Is a condition precedent for user of the multiple year financial data. Reliance is placed on various decisions in this regard including (i) AZTEC Software 107 ITD (AT) 141 (SB) (Bang), (it) Mentor Graphic 109 ITD 101 (Del) and (iii) Honeywell Ltd. 209-TI0L-104 (AT) (Pune). In view of the same, the assessee's contention is rejected. It may be mentioned that the issue is also covered against the assessee by the judgement delivered by the Hon'ble High Delhi in the case of Chryscapital Investment Advisors (India) Pvt. Ltd. in ITA NO 417/2014.‖ The DRP has also co…

Haldor Topsoe (I) Pvt Ltd, New Delhi vs. DCIT, New Delhi

In the result, the appeal is partly allowed

ITA 654/DEL/2015[2010-11]Status: DisposedITAT Delhi26 Dec 2018AY 2010-11

Bench: Shri Bhavnesh Saini & Shri Anadee Nath Misshra

For Appellant: Sh. H.P. Aggarwal, FCA, and Ms. Prashuka Jain, CAFor Respondent: Sh. Sanjay I. Bara, CIT (DR)
Section 10ASection 154Section 271(1)(c)Section 92C

…dded to the profit margin of e) comparable companies as finally determined in accordance with the directions of this Panel. 7.2.5 In allowing the working, capital adjustment, this DRP carries strength from the following judicial decisions. Mentor Graphics (109 ITD 101) • Sony India (288 ITR 52 (Delhi- ITAT) • Page 70 of 112 ITA No.-654/Del/2015. Haldor Topsoe India Pvt. Ltd., New Delhi. Philips Software (26 SOT 226) (Bangalore- ITAT) • 8. Issue III Whether AO/TPO is right in denying any adjustment on account of risk, while working out the average margins of the comparables. 8.2 Having gone through the taxp…

DCIT, New Delhi vs. M/S Jsl Ltd., Hisar

Accordingly, ground number 2 of the appeal of the learned AO for 2007 – 08 is dismissed

ITA 4110/DEL/2013[2007-08]Status: DisposedITAT Delhi19 Nov 2018AY 2007-08

Bench: Smt Diva Singh & Shri Prashant Maharishi

For Appellant: Shri Ajay Vohra, Sr. AdvFor Respondent: Shri Kumar Parnav, Sr. DR
Section 92CSection 92C(2)

…Ltd vs DCIT (ITA No 6083/Del/2010) - Hon‘ble Delhi High Court, in the appeal preferred by the revenue, vide order dated 17.07.2013 upheld the adjustment claimed by the appellant on account of capacity utilization. - Mentor Graphics (Noida) : Private Limited : 109 ITD 101 (Del), ITA No 4249 / Del/2012, 4110/Del/2013 & 6337/Del/2013 A Y 2007-08 and 2008-09 Jindal Steel Limited Vs ACIT Cen Circle 4(1) , New Delhi - Sony India (P) Limited : 106 ITD 175 (Del). - Skoda Auto India (P) Ltd. vs. ACIT : 122 TTJ 699 (Pune) - Schefenacker Motherson Ltd. vs. ITO (in ITA Nos. 4459 & 4469/Del/07), - Honeywell Automation India P…

Jindal Stainless Ltd., Hisar vs. DCIT, New Delhi

Accordingly, ground number 2 of the appeal of the learned AO for 2007 – 08 is dismissed

ITA 6337/DEL/2012[2008-09]Status: DisposedITAT Delhi19 Nov 2018AY 2008-09

Bench: Smt Diva Singh & Shri Prashant Maharishi

For Appellant: Shri Ajay Vohra, Sr. AdvFor Respondent: Shri Kumar Parnav, Sr. DR
Section 92CSection 92C(2)

…Ltd vs DCIT (ITA No 6083/Del/2010) - Hon‘ble Delhi High Court, in the appeal preferred by the revenue, vide order dated 17.07.2013 upheld the adjustment claimed by the appellant on account of capacity utilization. - Mentor Graphics (Noida) : Private Limited : 109 ITD 101 (Del), ITA No 4249 / Del/2012, 4110/Del/2013 & 6337/Del/2013 A Y 2007-08 and 2008-09 Jindal Steel Limited Vs ACIT Cen Circle 4(1) , New Delhi - Sony India (P) Limited : 106 ITD 175 (Del). - Skoda Auto India (P) Ltd. vs. ACIT : 122 TTJ 699 (Pune) - Schefenacker Motherson Ltd. vs. ITO (in ITA Nos. 4459 & 4469/Del/07), - Honeywell Automation India P…

DCIT 5(1)(1), Mumbai vs. Glenmark Exports Ltd, Mumbai

In the result, appeal of the Revenue is dismissed

ITA 2445/MUM/2017[2008-09]Status: DisposedITAT Mumbai26 Oct 2018AY 2008-09

Bench: Shri R.C.Sharma, Am & Shri Amarjit Singh, Jm It(Tp)A Nos.2445/Mum/2017 & 2446/Mum/2017 (Assessment Year :2008-09 & 2009-10) Dcit – 5(1)(1) Vs. M/S. Glenmark Exports Ltd., Room No.568, 5Th Floor (Now Known As Glenmark Aayakar Bhavan Access Ltd., M.K.Road B/2, Mahalaxmi Chambers Mumbai – 400020 22, Bhulabhai Desai Road Mumbai – 400 026 Pan/Gir No.Aaacg3619C (Appellant) .. (Respondent)

Section 143(3)Section 92C

…justment in the matters relating to ALP in Transfer Pricing. The above observations of the Tribunal has been substantiated by relying on the earlier decision of the Delhi Bench of the Tribunal in the case of Mentor Graphics (Noida) (P.) Ltd. v. Dy. CIT (2007) 109 ITD 101 (Del) and stated working capital adjustments constitutes one which is required to be adjusted for the purpose of establishing the ALP. It is relevant to state para 27 of the said order which reads as under : "It is a simple principle of economics that the greater the risk, the greater the expected return (compensation). If there are material and…

M/S Ika India Pvt Ltd, Bangalore vs. Assistant Commissioner of Income Tax Circle-3(1)(1), Bangalore

In the result, the appeal by the assessee is partly allowed

ITA 2476/BANG/2017[2013-14]Status: DisposedITAT Bangalore12 Oct 2018AY 2013-14

Bench: Shri N.V. Vasudevan & Shri Inturi Rama Rao

For Appellant: Shri Ved Jain & Shri Darpan Kirpalani, CAsFor Respondent: Smt. Sree Nandini Das, Addl.CIT(DR)(ITAT), Bengaluru
Section 92

…IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH : BANGALORE BEFORE SHRI N.V. VASUDEVAN, JUDICIAL MEMBER AND SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER IT(TP)A No.2476/Bang/2017 Assessment year : 2013-14 IKA India Pvt. Ltd., Vs. The Assistant Commissioner of 814/475, Survey No.129/1, Income Tax, Mysore Road, Kengeri, Circle 3(1)(1), Bangalore – 560 060. Bangalore. PAN: AABCI 9880Q APPELLANT RESPONDENT Appellant by : Shri Ved Jain & Shri Darpan Kirpalani, CAs Respondent by : Smt. Sree Nandini Das, Addl.CIT(DR)(ITAT), Bengaluru. Date of hearing : 03.10.2018 Date of Pronouncement : 12.10.2018 O R D E R Per N.V. Va…

DCIT, New Delhi vs. M/S. Imsofer Manufacturing India Pvt. Ltd., Pune

In the result, the department’s appeal stands dismissed

ITA 5155/DEL/2015[2009-10]Status: DisposedITAT Delhi14 Aug 2018AY 2009-10

Bench: Sh. N.K.Saini & Sh. Sudhanshu Srivastava

For Respondent: Sh. Kumar Paranav, Sr. DR

…t is an adjustment that is required to be made in TNMM. Allowability of working capital adjustment has been upheld by the various Benches of the ITAT. ITAT Delhi has held working capital adjustment to be allowable in the cases of Mentor Graphics reported in 109 ITD 101 (Del) and Sony India reported in 114 ITD 448 (Del). Therefore, in view of the settled judicial precedents and further in view of the fact that the Ld. Sr. DR could not point out any legal infirmity in the direction of the Ld. CIT (A) for allowing working capital adjustment, we are unable to agree to the contentions of the Ld. Sr. DR and we fin…

Parsons Brinckerhoff India Private Ltd, New Delhi vs. DCIT, New Delhi

The appeal of the assessee is partly allowed for statistical purpose

ITA 1037/DEL/2015[2010-11]Status: DisposedITAT Delhi31 Jul 2018AY 2010-11

Bench: Shri N. K. Billaiya & Ms Suchitra Kambleparsons Brinchkerhoff India Pvt. Vs Dcit Ltd. Circle-19(2), 210, 2Nd Floor, Elegance Jasola C. R. Building, District Centre, Old Mathura Road New Delhi New Delhi Aaccp3729L (Appellant) (Respondent)

Section 143(3)Section 144C(13)Section 234BSection 27iSection 920(3)Section 92D

…o. (India) Ltd. Vs. ACIT [ITA No. 6819/Del/2014] (A. Y. 2004-05) order dated 11.04.2018] 5) Capital IQ Information Systems [India ) Pvt. Limited vs. DCIT (ITA No.1961/Hyd/2011 order dated 23.11.2012) 6) Mentor Graphics Noida Private Limited vs. DCIT [(2007) 109 ITD 101 (Delhi)] 7) M/s Premier Exploration Services Pvt. Ltd. vs ITO 291 ITR 427 10 8) Granite Services International Private Ltd. vs. ACIT (2017) 87 Taxmann.com 24 9) Bechtel India Pvt. Ltd. Vs. DCIT (2016) 66 Taxmann.com 6 10) Pyramid IT Consulting Pvt. Ltd. Vs. ITO (ITA No. 5401/Del/2012 order dated 11.12.2014) 11) ACIT Vs. M/s Chemtix Global E…

M/S Viavi Solutions India Pvt. Ltd., Gurgaon vs. ACIT, New Delhi

In the result appeal filed by assessee stands allowed as indicated above

ITA 231/DEL/2017[2012-13]Status: DisposedITAT Delhi11 Jul 2018AY 2012-13

Bench: Shri P.M.Jagtap & Smt. Beena A Pillaiay: 2011-12 Viavi Solutions India P. Ltd. Vs. Dcit, Circle 13(1) (Formerly Known As Jdsu India New Delhi P.Ltd.) Infotech Centre, 3Rd Floor 14/2 Milestone, Delhi Gurgaon Road Gurgaon 122 016 Pan: Aaacw0654M Ay: 2011-12 Dcit, Circle 13(2) Vs. Jdsu India P.Ltd. New Delhi (Presently Known As Viavi Solutions India P. Ltd.) New Delhi Ay: 2012-13 Viavi Solutions India P. Ltd. Vs. Acit, Circle 26(1) (Formerly Known As Jdsu India New Delhi P.Ltd.) Infotech Centre, 3Rd Floor 14/2 Milestone, Delhi Gurgaon Road Gurgaon 122 016 Pan: Aaacw0654M (Appellant) (Respondent) Assessee By : Sh. Nageswar Rao, Adv. Sh. Sandeep Karhail, Adv. & Sh. Shatani K Chakraborty Department By : Sh. H.K.Chaudhary, Cit-Dr

For Appellant: Sh. Nageswar Rao, AdvFor Respondent: Sh. H.K.Chaudhary, CIT-DR
Section 143Section 143(3)Section 92CSection 92C(3)

…necessary Data/details with computation of the working capital of the tested party and comparables, Ld. DRP directed the Ld. TPO to give the working capital adjustment. For this purpose Ld. DRP took strength from the decisions in the cases of Mentor graphics (109 ITD 101), Sony India (288 ITR 52 Delhi-ITAT) and Philips software (26 SOT 226 Bangalore-ITAT). 23. In view of the impact of the trade receivables, trade payables and inventory on the interest cost and depending upon the interest cost the margins change their volumes; we do not find any illegality or irregularity in the directions given by the Ld. DRP in…

Viavi Solutions India Pvt. Ltd., (Formerly Jdsu India Pvt. Ltd), Gurgaon vs. JCIT, New Delhi

In the result appeal filed by assessee stands allowed as indicated above

ITA 1483/DEL/2016[2011-12]Status: DisposedITAT Delhi11 Jul 2018AY 2011-12

Bench: Shri P.M.Jagtap & Smt. Beena A Pillaiay: 2011-12 Viavi Solutions India P. Ltd. Vs. Dcit, Circle 13(1) (Formerly Known As Jdsu India New Delhi P.Ltd.) Infotech Centre, 3Rd Floor 14/2 Milestone, Delhi Gurgaon Road Gurgaon 122 016 Pan: Aaacw0654M Ay: 2011-12 Dcit, Circle 13(2) Vs. Jdsu India P.Ltd. New Delhi (Presently Known As Viavi Solutions India P. Ltd.) New Delhi Ay: 2012-13 Viavi Solutions India P. Ltd. Vs. Acit, Circle 26(1) (Formerly Known As Jdsu India New Delhi P.Ltd.) Infotech Centre, 3Rd Floor 14/2 Milestone, Delhi Gurgaon Road Gurgaon 122 016 Pan: Aaacw0654M (Appellant) (Respondent) Assessee By : Sh. Nageswar Rao, Adv. Sh. Sandeep Karhail, Adv. & Sh. Shatani K Chakraborty Department By : Sh. H.K.Chaudhary, Cit-Dr

For Appellant: Sh. Nageswar Rao, AdvFor Respondent: Sh. H.K.Chaudhary, CIT-DR
Section 143Section 143(3)Section 92CSection 92C(3)

…necessary Data/details with computation of the working capital of the tested party and comparables, Ld. DRP directed the Ld. TPO to give the working capital adjustment. For this purpose Ld. DRP took strength from the decisions in the cases of Mentor graphics (109 ITD 101), Sony India (288 ITR 52 Delhi-ITAT) and Philips software (26 SOT 226 Bangalore-ITAT). 23. In view of the impact of the trade receivables, trade payables and inventory on the interest cost and depending upon the interest cost the margins change their volumes; we do not find any illegality or irregularity in the directions given by the Ld. DRP in…

DCIT, New Delhi vs. M/S. Jdsu India Pvt. Ltd., New Delhi

In the result appeal filed by assessee stands allowed as indicated above

ITA 1478/DEL/2016[2011-12]Status: DisposedITAT Delhi11 Jul 2018AY 2011-12

Bench: Shri P.M.Jagtap & Smt. Beena A Pillaiay: 2011-12 Viavi Solutions India P. Ltd. Vs. Dcit, Circle 13(1) (Formerly Known As Jdsu India New Delhi P.Ltd.) Infotech Centre, 3Rd Floor 14/2 Milestone, Delhi Gurgaon Road Gurgaon 122 016 Pan: Aaacw0654M Ay: 2011-12 Dcit, Circle 13(2) Vs. Jdsu India P.Ltd. New Delhi (Presently Known As Viavi Solutions India P. Ltd.) New Delhi Ay: 2012-13 Viavi Solutions India P. Ltd. Vs. Acit, Circle 26(1) (Formerly Known As Jdsu India New Delhi P.Ltd.) Infotech Centre, 3Rd Floor 14/2 Milestone, Delhi Gurgaon Road Gurgaon 122 016 Pan: Aaacw0654M (Appellant) (Respondent) Assessee By : Sh. Nageswar Rao, Adv. Sh. Sandeep Karhail, Adv. & Sh. Shatani K Chakraborty Department By : Sh. H.K.Chaudhary, Cit-Dr

For Appellant: Sh. Nageswar Rao, AdvFor Respondent: Sh. H.K.Chaudhary, CIT-DR
Section 143Section 143(3)Section 92CSection 92C(3)

…necessary Data/details with computation of the working capital of the tested party and comparables, Ld. DRP directed the Ld. TPO to give the working capital adjustment. For this purpose Ld. DRP took strength from the decisions in the cases of Mentor graphics (109 ITD 101), Sony India (288 ITR 52 Delhi-ITAT) and Philips software (26 SOT 226 Bangalore-ITAT). 23. In view of the impact of the trade receivables, trade payables and inventory on the interest cost and depending upon the interest cost the margins change their volumes; we do not find any illegality or irregularity in the directions given by the Ld. DRP in…

M/S. Exxonmobil Gas (India) Private Limited, New Delhi vs. DCIT, New Delhi

The appeal of the assessee is allowed for statistical purposes only

ITA 2702/DEL/2014[2009-10]Status: DisposedITAT Delhi26 Jun 2018AY 2009-10

Bench: Shri Joginder Singh & Shri R. K. Pandaassessment Year : 2009-10 Exxonmobil Gas (India) Private Dcit, Limited, Circle-11(1), Vs. 11033, Lane No.3, Doriwalan, Room No.405, C.R. Building, New Delhi Karol Bagh, Delhi-110005

For Respondent: Shri H. K. Choudhary, CIT-DR
Section 144C(5)

…e ld. Counsel for the assessee, placed reliance upon the decisions in the case of Sony India Pvt. Ltd. vs DCIT (2008) 114 ITD 448 (Del.), Philips Software Centre Pvt. Ltd. vs ACIT (2008) 119 TTJ 721 (Bangalore), Mentorgraphics (Noida)(P.) Ltd. vs CIT (2007) 109 ITD 101(Del.), Kodiak Networks India Pvt. Ltd. vs ACIT (2012) 52 SOT 189 (Bangalore) and E-Gain Communications Pvt. Ltd. 118 TTJ 354 (Pune). 4. If the observation made in the assessment order, conclusion drawn by the Ld. DRP and the assertions made by the respective counsel, if kept in juxtaposition with the facts of the present appeal, we find merit…

DCIT, Chennai vs. The Official Liquidator M/S. Mascon Global Ltd. (in Liquidation), Chennai

Accordingly, the ground raised by the Revenue is dismissed

ITA 634/CHNY/2017[2009-10]Status: DisposedITAT Chennai22 Jun 2018AY 2009-10

Bench: Shri A. Mohan Alankamony & Shri Duvvuru Rl Reddy

For Appellant: NoneFor Respondent: Shri Srinivasa Rao, CIT
Section 143(1)Section 143(3)Section 147Section 148

…on provisions relating to Finance Act, 2001 as well as Circular No. 12 of 2001 dated 23.08.2001. Moreover, by considering various decisions including the decision of Delhi Benches of the Tribunal in the case of Mentor Graphics (Noida) (P) Ltd. v. DCIT [2009] 109 ITD 101, wherein, the observations of the Tribunal as well as findings of the ld. CIT(A) are reproduced as under: 12 I.T.A. No.1139/Chny/08, 1135/Chny/10 & C.O. No. 69/Chny/17, 1136/Chny/10 & 632-634/Chny/17 “1. Whether ‘transfer pricing’ is not an exact science, evaluation of transactions through which process of determination is carried is an art wher…

DCIT, Chennai vs. The Official Liquidator M/S. Mascon Global Ltd. (in Liquidation), Chennai

Accordingly, the ground raised by the Revenue is dismissed

ITA 633/CHNY/2017[2004-05]Status: DisposedITAT Chennai22 Jun 2018AY 2004-05

Bench: Shri A. Mohan Alankamony & Shri Duvvuru Rl Reddy

For Appellant: NoneFor Respondent: Shri Srinivasa Rao, CIT
Section 143(1)Section 143(3)Section 147Section 148

…on provisions relating to Finance Act, 2001 as well as Circular No. 12 of 2001 dated 23.08.2001. Moreover, by considering various decisions including the decision of Delhi Benches of the Tribunal in the case of Mentor Graphics (Noida) (P) Ltd. v. DCIT [2009] 109 ITD 101, wherein, the observations of the Tribunal as well as findings of the ld. CIT(A) are reproduced as under: 12 I.T.A. No.1139/Chny/08, 1135/Chny/10 & C.O. No. 69/Chny/17, 1136/Chny/10 & 632-634/Chny/17 “1. Whether ‘transfer pricing’ is not an exact science, evaluation of transactions through which process of determination is carried is an art wher…

DCIT, Chennai vs. The Official Liquidator M/S. Mascon Global Ltd. (in Liquidation), Chennai

Accordingly, the ground raised by the Revenue is dismissed

ITA 632/CHNY/2017[2003-04]Status: DisposedITAT Chennai22 Jun 2018AY 2003-04

Bench: Shri A. Mohan Alankamony & Shri Duvvuru Rl Reddy

For Appellant: NoneFor Respondent: Shri Srinivasa Rao, CIT
Section 143(1)Section 143(3)Section 147Section 148

…on provisions relating to Finance Act, 2001 as well as Circular No. 12 of 2001 dated 23.08.2001. Moreover, by considering various decisions including the decision of Delhi Benches of the Tribunal in the case of Mentor Graphics (Noida) (P) Ltd. v. DCIT [2009] 109 ITD 101, wherein, the observations of the Tribunal as well as findings of the ld. CIT(A) are reproduced as under: 12 I.T.A. No.1139/Chny/08, 1135/Chny/10 & C.O. No. 69/Chny/17, 1136/Chny/10 & 632-634/Chny/17 “1. Whether ‘transfer pricing’ is not an exact science, evaluation of transactions through which process of determination is carried is an art wher…

ACIT, Chennai vs. M/S. Mascon Global Ltd., Chennai

Accordingly, the ground raised by the Revenue is dismissed

ITA 1139/CHNY/2008[2003-04]Status: DisposedITAT Chennai22 Jun 2018AY 2003-04

Bench: Shri A. Mohan Alankamony & Shri Duvvuru Rl Reddy

For Appellant: NoneFor Respondent: Shri Srinivasa Rao, CIT
Section 143(1)Section 143(3)Section 147Section 148

…on provisions relating to Finance Act, 2001 as well as Circular No. 12 of 2001 dated 23.08.2001. Moreover, by considering various decisions including the decision of Delhi Benches of the Tribunal in the case of Mentor Graphics (Noida) (P) Ltd. v. DCIT [2009] 109 ITD 101, wherein, the observations of the Tribunal as well as findings of the ld. CIT(A) are reproduced as under: 12 I.T.A. No.1139/Chny/08, 1135/Chny/10 & C.O. No. 69/Chny/17, 1136/Chny/10 & 632-634/Chny/17 “1. Whether ‘transfer pricing’ is not an exact science, evaluation of transactions through which process of determination is carried is an art wher…