EATON TECHNOLOGIES PVT.LTD,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE - 1(2),, PUNE

Bench: Shri S.S.Godara & G.D.Padmahshaliआयकरअपीलसं. / Ita No.590/Pun/2018 िनधा"रण वष" / Assessment Year: 2014-15 Eaton Technologies Private Limited, Dcit, Circle-1(2), Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue आयकरअपीलसं. / Ita No.902/Pun/2018 िनधा"रण वष" / Assessment Year: 2011-12 Eaton Technologies Private Limited, Pr.Cit-1, Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue

transfer pricing analysis and not for working out the super normal profits. The learned Authorized Representative for the assessee further pointed out that in fact the net profit of assessee was only 63% and similar net profit was shown in both preceding and succeeding years. The second plea raised by learned Authorized Representative for the assessee was that there

EATON TECHNOLOGIES PVT.LTD,,PUNE vs. PR. COMMISSIONER OF INCOME-TAX-1,, PUNE

Bench: Shri S.S.Godara & G.D.Padmahshaliआयकरअपीलसं. / Ita No.590/Pun/2018 िनधा"रण वष" / Assessment Year: 2014-15 Eaton Technologies Private Limited, Dcit, Circle-1(2), Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue आयकरअपीलसं. / Ita No.902/Pun/2018 िनधा"रण वष" / Assessment Year: 2011-12 Eaton Technologies Private Limited, Pr.Cit-1, Cluster C, Wing 1, Eon Free Zone, Vs Pune Plot No.1, Sr.No.77, Midc Kharadi Knowledge Park, Kharadi, Pune 411 014 Pan : Aabce4323Q Appellant/ Assessee Respondent /Revenue

transfer pricing analysis and not for working out the super normal profits. The learned Authorized Representative for the assessee further pointed out that in fact the net profit of assessee was only 63% and similar net profit was shown in both preceding and succeeding years. The second plea raised by learned Authorized Representative for the assessee was that there

DEPUTY COMMISSIONER OF INCOME TAX CIR 1(1), PUNE vs. EATON TECHNOLOGIES PVT. LTD.,, PUNE

Appeals are partly allowed for statistical purpose in above terms

Bench: Shri S.S.Godara & Dr. Dipak P. Ripoteआयकरअपीलसं. / Ita Nos.42 & 43/Pun/2021 िनधा"रणवष" / Assessment Years : 2015-16 & 16-17 Dcit, Circle-1(1), Pune. M/S.Eaton Technologies Pvt. Ltd., Vs Cluster C Wing-1, Eon Zone, Midc Kharadi, Knowledge Park, Plot No.1, Survey No.77, Kharadi, Pune – 411014. Pan: Aabce 4323 Q Appellant/ Assessee Respondent /Revenue Assessee By Shri Vishal Kalra & Shri Ss Tomar -Ar Revenue By Shri Sunil Kumar – Cit(Dr) Date Of Hearing 24/06/2022 Date Of Pronouncement 07/07/2022 आदेश/ Order Per S.S.Godara, Jm: These Revenue’S Twin Appeals For The Assessment Years 2015- 16 & 2016-17 Arise Against The Cit(A)-13, Pune’S Separate Orders; Both Dated 29.05.2020, Passed In Case No.Pn/Cit(A)-13/Dcit, Circle-1(2), Pune/10142/2019-20/02, Pn/Cit(A)-13/Dcit, Circle- 1(2), Pune/10142/2019-20/03 Respectively, Involving Proceedings Under Section 143(3) Of The Income Tax Act, 1961. Heard Both The Parties. Case Files Perused.

transfer pricing analysis and not for working out the super normal profits. The learned Authorized Representative for the assessee further pointed out that in fact the net profit of assessee was only 63% and similar net profit was shown in both preceding and succeeding years. The second plea raised by learned Authorized Representative for the assessee was that there

DEPUTY COMMISSIONER OF INCOME TAX CIR 1(1), PUNE vs. EATON TECHNOLOGIES PVT. LTD.,, PUNE

Appeals are partly allowed for statistical purpose in above terms

Bench: Shri S.S.Godara & Dr. Dipak P. Ripoteआयकरअपीलसं. / Ita Nos.42 & 43/Pun/2021 िनधा"रणवष" / Assessment Years : 2015-16 & 16-17 Dcit, Circle-1(1), Pune. M/S.Eaton Technologies Pvt. Ltd., Vs Cluster C Wing-1, Eon Zone, Midc Kharadi, Knowledge Park, Plot No.1, Survey No.77, Kharadi, Pune – 411014. Pan: Aabce 4323 Q Appellant/ Assessee Respondent /Revenue Assessee By Shri Vishal Kalra & Shri Ss Tomar -Ar Revenue By Shri Sunil Kumar – Cit(Dr) Date Of Hearing 24/06/2022 Date Of Pronouncement 07/07/2022 आदेश/ Order Per S.S.Godara, Jm: These Revenue’S Twin Appeals For The Assessment Years 2015- 16 & 2016-17 Arise Against The Cit(A)-13, Pune’S Separate Orders; Both Dated 29.05.2020, Passed In Case No.Pn/Cit(A)-13/Dcit, Circle-1(2), Pune/10142/2019-20/02, Pn/Cit(A)-13/Dcit, Circle- 1(2), Pune/10142/2019-20/03 Respectively, Involving Proceedings Under Section 143(3) Of The Income Tax Act, 1961. Heard Both The Parties. Case Files Perused.

transfer pricing analysis and not for working out the super normal profits. The learned Authorized Representative for the assessee further pointed out that in fact the net profit of assessee was only 63% and similar net profit was shown in both preceding and succeeding years. The second plea raised by learned Authorized Representative for the assessee was that there

DEPUTY COMMISSIONER OF INCOME-TAX vs. M/S. HONEYWELL AUTOMATION INDIA LTD.,, PUNE

In the result, the appeal of Revenue is dismissed

Bench: Shri R.S. Syal & Shri S.S. Viswanethra Ravi

section 92C of the Act considers the entire 16 ITA Nos. 583 & 619/PUN/2015, A.Y. 2003-04 range of results where more than one result is obtained and there is no rule under the Indian transfer pricing legislation for a blanket rejection of loss making companies but however, the TPO noted that at the time of transfer pricing documentation, assessee applied

M/S. HONEWELL AUTOMATION INDIA LTD.,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX,,

In the result, the appeal of Revenue is dismissed

Bench: Shri R.S. Syal & Shri S.S. Viswanethra Ravi

section 92C of the Act considers the entire 16 ITA Nos. 583 & 619/PUN/2015, A.Y. 2003-04 range of results where more than one result is obtained and there is no rule under the Indian transfer pricing legislation for a blanket rejection of loss making companies but however, the TPO noted that at the time of transfer pricing documentation, assessee applied

MERCEDES-BENZ INDIA PRIVATE LIMITED,,PUNE vs. DEPUTY COMMISSIONER OF INCOME TAX,, PUNE

The appeal of the assessee is partly allowed for statistical purposes

section 92C, the arm's length price in relation to an international transaction shall be determined by any of the following methods, being the most appropriate method, in the following manner, namely :— b) resale price method, by which,— (i) the price at which property purchased or services obtained by the enterprise from an associated enterprise is resold or are provided

MERCEDES-BENZ INDIA PVT. LTD. (FORMERLY KNOWN AS DAIMLER CHRYSLER INDIA PVT. LTD),PUNE vs. ASST. CIT, CIRCLE-8, PUNE

In the result, appeal of assessee is partly allowed, appeal of Revenue is dismissed and cross objections of assessee are dismissed

Bench: Ms. Sushma Chowla, Jm & Shri D. Karunakara Rao, Am आयकर अपीऱ सं. / Ita No.1083/Pun/2013 यििाारण वषा / Assessment Year : 2005-06 Mercedes-Benz India Pvt. Ltd., (Formerly Known As Daimler Chrysler India Pvt. Ltd.) E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 8, Pune

section 234B of the Act is consequential, hence the same is dismissed. 48. The issue raised in additional ground of appeal No.11 is against transfer pricing adjustment to be limited to international transactions with associated enterprises only. The learned Authorized Representative for the assessee also stated that the said ground of appeal would become academic if ground of appeal No.4

DY. CIT, CIRCLE-9, PUNE vs. MERCEDES BENZ I PVT. LTD. (FORMERLY KNOWN AS DAIMLER CHRYSLER I PVT. LTD), PUNE

In the result, appeal of assessee is partly allowed, appeal of Revenue is dismissed and cross objections of assessee are dismissed

Bench: Ms. Sushma Chowla, Jm & Shri D. Karunakara Rao, Am आयकर अपीऱ सं. / Ita No.1083/Pun/2013 यििाारण वषा / Assessment Year : 2005-06 Mercedes-Benz India Pvt. Ltd., (Formerly Known As Daimler Chrysler India Pvt. Ltd.) E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 8, Pune

section 234B of the Act is consequential, hence the same is dismissed. 48. The issue raised in additional ground of appeal No.11 is against transfer pricing adjustment to be limited to international transactions with associated enterprises only. The learned Authorized Representative for the assessee also stated that the said ground of appeal would become academic if ground of appeal No.4

M/S. EATON POWER QUALITY PRIVATE LTD.,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX,,

In the result, the appeal of assessee in ITA No

Bench: Shri Anil Chaturvedi, Am & Shri Vikas Awasthy, Jm

Transfer Pricing which also recommends the indirect charge approach for intra- group services in certain circumstances. The relevant Paras from the OECD Guidelines are reproduced hereunder for ready reference: "Para 7.24 -In some cases, an indirect charge method may be necessary due to the nature of the service being provided. One example is where the proportion of the value

M/S EATON POWER QUALITY P.LTD.,PUNE vs. ACIT, PUNE

In the result, the appeal of assessee in ITA No

Bench: Shri Anil Chaturvedi, Am & Shri Vikas Awasthy, Jm

Transfer Pricing which also recommends the indirect charge approach for intra- group services in certain circumstances. The relevant Paras from the OECD Guidelines are reproduced hereunder for ready reference: "Para 7.24 -In some cases, an indirect charge method may be necessary due to the nature of the service being provided. One example is where the proportion of the value

MERCEDES BENZ INDIA PVT. LTD.,,PUNE vs. ACIT CIR.9,, PUNE

In the result, all the appeals of assessee are allowed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita No.1468/Pun/2010 यििाारण वषा / Assessment Year : 2006-07 Mercedes-Benz India Pvt. Ltd., E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 9, Pune आयकर अपीऱ सं. / Ita No.10/Pun/2012 यििाारण वषा / Assessment Year : 2007-08 Mercedes-Benz India Pvt. Ltd., E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 9, Pune आयकर अपीऱ सं. / Ita No.298/Pun/2013 यििाारण वषा / Assessment Year : 2008-09 Mercedes-Benz India Pvt. Ltd., E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 9, Pune : Shri Pramod Achuthan : Ms. Nandita Kanchan Revenue By घोषणा की तारीख / सुनवाई की तारीख / Date Of Pronouncement: 30.04.2019 Date Of Hearing : 12.02.2019

transfer pricing provisions. The issue raised in the present appeal vide ground of appeal No.6 is identical and following the same parity of reasoning, we accordingly direct the Assessing Officer / TPO to include payment of royalty and aggregate the same along with other international transactions undertaken by assessee. 20. Now, let us take up the corporate issues raised. The first

MERCEDES-BENZ INDIA PVT. LTD.,,PUNE vs. ASST. COMM. OF INCOME-TAX,, PUNE

In the result, all the appeals of assessee are allowed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita No.1468/Pun/2010 यििाारण वषा / Assessment Year : 2006-07 Mercedes-Benz India Pvt. Ltd., E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 9, Pune आयकर अपीऱ सं. / Ita No.10/Pun/2012 यििाारण वषा / Assessment Year : 2007-08 Mercedes-Benz India Pvt. Ltd., E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 9, Pune आयकर अपीऱ सं. / Ita No.298/Pun/2013 यििाारण वषा / Assessment Year : 2008-09 Mercedes-Benz India Pvt. Ltd., E-3, Midc Chakan, Phase – Iii, Chakan Industrial Area, Kuruli & Nighoje, Tal. Khed, अऩीऱाथी/Appellant Pune – 410501 …. Pan: Aabcm1789L Vs. The Asst. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle – 9, Pune : Shri Pramod Achuthan : Ms. Nandita Kanchan Revenue By घोषणा की तारीख / सुनवाई की तारीख / Date Of Pronouncement: 30.04.2019 Date Of Hearing : 12.02.2019

transfer pricing provisions. The issue raised in the present appeal vide ground of appeal No.6 is identical and following the same parity of reasoning, we accordingly direct the Assessing Officer / TPO to include payment of royalty and aggregate the same along with other international transactions undertaken by assessee. 20. Now, let us take up the corporate issues raised. The first

DEPUTY COMMSSIONER OF INCOME TAX CIRCLE-1(1), PUNE vs. FERRERO INDIA PVT.LTD, PUNE

Transfer pricing adjustment of Rs.98,282,571 is deleted. Accordingly, the appeal of the appellant is allowed.” 15. It was examined by the ld. CIT(A) that whatever AMP was incurred by the assessee was for promotion of its products and not the brand of its AE. It was also examined and held by the ld. CIT(A) that such

MSC SOFTWARE CORPORATION INDIA P.LTD.,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX,,

In the result, the appeal of assessee is partly allowed in the terms aforesaid

Bench: Shri Anil Chaturvedi, Am & Shri Vikas Awasthy, Jm

63,487 pertaining to payment towards management fees and communication cost and valuing aforementioned expenses as NIL by wrongly concluding that the Appellant has not proved the receipt of services and benefit derived. II. Without prejudice to the above, the Appellant wishes to raise the following grounds of appeal with respect to provision of software development services notwithstanding the fact

M/S. HYUNDAI CONSTTRUCTION EQUIPMENT INDIA PRIVATE LIMITED,,PUNE vs. ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE - 9,, PUNE

In the result, the appeal is partly allowed

Bench: Shri R.S. Syal & Shri S.S. Viswanethra Raviनिर्धारण वषा / Assessment Year : 2013-14 M/S. Hyundai Construction Equipment Vs. Acit, Circle 9, India Private Limited Pune Plot No.A-2, Chakan Midc, Phase-Ii, Khalumbre, Chakan-Talegaon Road, Chakan, Taluka-Khed, Pune – 410501 Pan: Aabch8756Q Appellant Respondent

section 144C(13) of the Income- tax Act, 1961 (hereinafter also called ‗the Act‘) in relation to the assessment year 2013-14. 2. Ground No.1 is general. The ld. AR did not press ground No.2 taken in the Memorandum of appeal. Ground No. 9 is premature. These grounds are, therefore, dismissed. 3. Succinctly, the factual matrix of the case

KIMBERLY CLARK LEVER P.LTD.,PUNE vs. ACIT, PUNE

In the result, the appeal of the assessee stands allowed

Bench: Shri Inturi Rama Rao, Am & Shri Partha Sarathi Chaudhury, Jm आयकर अपील सं. / Ita No.2481/Pun/2012 िनधा"रण वष" / Assessment Year : 2008-09 Kimberly Clark Lever P. Ltd., Gat No.934 To 937, Village Sanaswadi Off Nagar Road, Ta- Shirur, Pune-412208. .......अपीलाथ" / Appellant Pan : Aaack4647E बनाम / V/S. Acit, Circle-Xi(I), ……""यथ" / Respondent Pune. Assessee By : Shri Percy Pardiwalla Revenue By : Shri Sandeep Garg सुनवाई क" तारीख / Date Of Hearing : 08.02.2021 घोषणा क" तारीख / Date Of Pronouncement : 22.02.2021 आदेश / Order Per Inturi Rama Rao, Am: This Is An Appeal Filed By The Assessee Directed Against The Final Assessment Order U/S 143(3) R.W.S. 144C Of The Income Tax Act, 1961 (‘The Act’ For Short) Of The Asstt. Commissioner Of Income Tax, Circle-11(1), Pune (‘The Assessing Officer’ For Short) Dated 29.10.2012 For The Assessment Year 2008-09. 2. The Appellant Raised The Following Grounds Of Appeal :- “The Appellant Objects To The Order Dated 29 October 2012 Passed Under Section 143(3) R.W.S. 144(C) Of The Income-Tax Act, 1961 (‘The Act’) By The Assistant Commissioner Of Income Tax, Circle 11(1), Pune [‘Acit’ Or ‘Ao’] Following The Directions Issued By The Dispute Resolution Panel (‘Drp’) In Respect Of The Aforesaid Assessment Year On The Following Among Other Grounds:

section 40(a)(ia) of the Act were applicable only to the amounts of expenditure which were payable as on 31 March of 4 the previous year and could not have been invoked to disallow expenditure which had actually been paid to HUL during the previous year. 5. Transfer Pricing adjustment a. On the facts and in the circumstances

DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE - 5,, PUNE vs. RENISHAW METROLOGY SYSTEMS LTD,, PUNE

In the result, appeal of assessee is allowed and the appeal of Revenue is dismissed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita No.376/Pun/2014 यििाारण वषा / Assessment Year : 2009-10 M/S. Renishaw Metrology Systems Ltd., S.No.283, Hissa No.2, S.No.284, Hissa No.2 & 3A, Raisoni Estate, Village Mann, Taluka Mulshi, अऩीऱाथी/Appellant Pune – 411057 …. Pan: Aabcr6361F Vs. The Dy. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle 1(2), Pune

section 92CA(1) of the Act to the Transfer Pricing Officer (TPO) to benchmark arm's length price of international 6 transactions in the hands of assessee. The TPO made an adjustment of ₹ 32,63

M/S. RENISHAW METROLOGY SYSTEMS LTD.,,PUNE vs. DEPUTY COMMISSIONER OF INCOME-TAX,, PUNE

In the result, appeal of assessee is allowed and the appeal of Revenue is dismissed

Bench: Ms. Sushma Chowla, Jm & Shri Anil Chaturvedi, Am आयकर अपीऱ सं. / Ita No.376/Pun/2014 यििाारण वषा / Assessment Year : 2009-10 M/S. Renishaw Metrology Systems Ltd., S.No.283, Hissa No.2, S.No.284, Hissa No.2 & 3A, Raisoni Estate, Village Mann, Taluka Mulshi, अऩीऱाथी/Appellant Pune – 411057 …. Pan: Aabcr6361F Vs. The Dy. Commissioner Of Income Tax, …. प्रत्यथी / Respondent Circle 1(2), Pune

section 92CA(1) of the Act to the Transfer Pricing Officer (TPO) to benchmark arm's length price of international 6 transactions in the hands of assessee. The TPO made an adjustment of ₹ 32,63