void
ab initio and is liable to be quashed
Transfer Pricing Adjustment on Account of AMP Expenses:
3. That the AO/ DRP erred on facts ... party. Transfer Pricing valuation, therefore, would be mandated at that time. The
international transaction could then be made a subject matter of transfer pricing
void ab initio and is liable to be quashed.
Transfer Pricing Adjustment on Account of AMP Expenses:
3. That the AO/ DRP erred on facts ... facts and in law in not appreciating that transfer
pricing adjustment on account of AMP expenses made by the TPO under
identical circumstances
grounds taken by the assessee in its appeal assail the transfer
pricing adjustment of AMP expenses. Ground no. 1 is general. Ground ... grounds are aimed at
challenging the addition of transfer pricing adjustment on AMP
transaction treated as an international transaction, we notice that
comparables would result in affirmation of the transfer price as the arm's length
price. Then to make a comparison of a horizontal item ... accept the comparables and determine
or accept the transfer price and still segregate AMP expenses as an international transaction..."
(Emphasis supplied
Transfer Pricing Officer,
which virtually conclude the matter. In the circumstances, on
that limited issue, we hereby direct the Transfer Pricing
Officer ... ground 2, which are incidental
/ subsidiary to the issue of transfer pricing adjustment of
AMP expenditure are left open and not adjudicated. It is
ordered
delete the addition made by the
Assessing Officer towards transfer pricing adjustment on account of AMP
expenditure. Ground raised is allowed. 24. Therefore, respectfully following ... that the decisions made by the TPO / AO towards transfer pricing
adjustment on account of AMP expenditure be deleted. Accordingly, these
grounds raised
common issue raised in these appeals is transfer pricing
adjustment on account of AMP expenses.
5. Perfetti Van Melle group ("PVM group ... genesis is application of BLT and
determination of excessive AMP expenses and consequently
making transfer pricing adjustment. Though the TPO has made
protective assessment using
advertising, marketing,
promotion expenditure ('AMP expenditure'). The inclusion of AMP
expenditure by an associated company in transfer pricing
analysis has been a point ... parables would result in affirmation
of the transfer price as the arm's length price. Then to
make a comparison of a horizontal item
also form part of Advertisement, Marketing and
Promotion (AMP) expenses on which Transfer Pricing Adjustment
has been made ... order
of assessment the AO made Transfer Pricing Adjustment on
account of alleged AMP expenses as under:
Substantive Adjustment Rs 11,85,61,930/-
Protective
next transpires that the assessee's 2nd substantive
grievance of transfer pricing adjustment [sub-grounds 2.1 to
2.18] deserves to be restored back ... promotion
reimbursements, depreciation on coolers and the transfer
pricing adjustments pertaining to it's "AMP" segment
