Pr. Commissioner of Income-tax-6, New Delhi v. Mentor Graphics (India) P. Limited
[Citation -2017-LL-0502-14]
| Citation | 2017-LL-0502-14 |
|---|---|
| Appellant Name | Pr. Commissioner of Income-tax-6, New Delhi |
| Respondent Name | Mentor Graphics (India) P. Limited |
| Court | HIGH COURT OF DELHI AT NEW DELHI |
| Relevant Act | Income-tax |
| Date of Order | 02/05/2017 |
| Assessment Year | 2006-07 |
| Judgment | View Judgment |
| Keyword Tags | international transaction • transfer pricing officer • export turnover • question of law • telecommunication charges • determination of alp • arm length price |
| Bot Summary: | There are two broad issues raised by the Revenue in this appeal. The grievance of the Revenue is that without a proper discussion and merely relying on past precedents, the ITAT has excluded the comparables chosen by the Transfer Pricing Officer after rejecting the 22 comparables included by the Assessee in its Transfer ITA 318/2017 Page 1 of 2 Pricing study. The Court has carefully perused the impugned order of the ITAT and the discussion on this aspect. In the considered view of this Court, while it is true that previous precedents have been relied upon by the ITAT, it would be incorrect to say that ITAT did not take into account the factors that weighed with it for excluding the said comparables. The Court does not find any substantial question of law arising on this aspect and therefore, declines to frame any question. The case of the Revenue is that ITAT erred in accepting the case of the Assessee that the communication charges should stand excluded both from the export turnover as well as the total turnover. No substantial question of law arises on this issue as well. |