length price (ALP) of the international
transactions, the Transfer Pricing Officer has stated that the
assessee had incurred AMP expenses amounting ... proposed transfer pricing adjustment on protective basis for a
sum of Rs. 201.16 crores. In computing the above amount of
transfer pricing adjustment
have provided below transfer pricing
and corporate tax grounds:
Grounds relating to transfer pricing matter:
3. Ld. AO/ Transfer Pricing Officer ... Transfer
pricing adjustment made in respect of AMP expenditure. In its
Transfer pricing report, the assessee did not disclose AMP expenses
as an item
jurisdiction to propose an
adjustment on account of AMP expense.
3. That the Transfer Pricing Adjustment on account of
Advertisement, Marketing and Promotion (AMP) expenses ... rejected the said appeal. On the issue
of Transfer Pricing Adjustment on account of AMP expenses, the
Tribunal relied upon the Coordinate Bench decision
Transfer
pricing adjustment made in respect of AMP expenditure. In its
Transfer pricing report, the assessee did not disclose AMP
expenses as an item ... combined Royalty payments also
along with AMP expenses while making Transfer pricing
adjustments by adopting Residual Profit Split Method, since the
existence of international transactions
That the Transfer Pricing Officer ("TPO")/
Dispute Resolution Panel ("DRP")/ AO have erred in
computing and sustaining Transfer Pricing Adjustment ... exit value.
63. Before examining as to whether any transfer
pricing adjustment on AMP is required or not for the
reason stated above, the first
making a Transfer
Pricing ("TP") adjustment on account of AMP expenses
incurred by the Appellant in the regular course of its
business ... appropriate tax administration must propose a
transfer pricing adjustment based on such
compensation for such AMP activity performed. Such
adjustment may be consistent with what
case, the entire approach of the
Transfer Pricing Officer in determining the arm's length price of AMP
expenditure is fallacious.
7. Moreover, there ... doubt that the Transfer Pricing Officer has determined
the arm's length price of AMP expenditure by applying BLT method. While
doing
grounds are dismissed.
Ground Nos.4 to 21 is regarding transfer pricing adjustment
of AMP expenses. Ground Nos. 22 to 28 is regarding solitary
corporate ... crore as advertisement
and sales promotion expenses (AMP). In the transfer pricing
study, the assessee did not disclose AMP expenses as an item
of international
Transfer Pricing Officer (Ld. TPO")
erred in enhancing the income of the Appellant by INR 315,3519/- by
making a Transfer Pricing ... second round of litigation as the issue concerning
transfer pricing of Advertising, Marketing & Promotional (AMP)
expenses was set aside to the file
transfer
pricing adjustment (TPA) amounting to Rs.129,44,62,939/- made on account
of advertising, marketing and promotion expenditure (in short "AMP
expenditure ... perhaps, the adjustment made by the TPO in the transfer pricing
qua AMP would have to be factored in.
10. Having regard to the aforesaid
