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The Commissioner Of Income Tax vs M/S Water'S (India) Pvt Ltd on 20 July, 2010

We however find that the Hon'ble Bombay High Court in the case of CIT Vs. Pentair Water India Pvt.Ltd. Tax Appeal No.18 of 2015 judgment dated 16.9.2015 has taken the view that turnover is a relevant criteria for choosing companies as comparable companies in determination of ALP in transfer pricing cases. In doing so the Hon'ble Bombay High Court has followed the decision of the Hon'ble Delhi High Court in the case of Agnity India Technologies Pvt.Ltd. (Supra). There is no decision of the jurisdictional High Court on this issue. In the circumstances, following the principle that where two views are available on an issue, the view favourable to the Assessee has to be adopted, we respectfully follow the view of the Hon'ble Bombay High Court on the issue. Respectfully following the aforesaid decision, we uphold the order of the DRP excluding 6 companies from the list of comparable companies chosen by the TPO on the basis of turnover and size.
Karnataka High Court Cites 0 - Cited by 10 - Full Document
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