Court : Income Tax Appellate Tribunal ITAT Delhi
..... has neither properly considered the request of the assessee for inclusion of some other comparable cases nor examined the effect of the above discussed relevant factors on the question of determination of the cost/value of international transaction, in our considered opinion the ends of justice will meet adequately if the order of the tpo and that of the ao giving effect to such order is set aside and the matter is restored to the file of the ..... part i (comprising of one sub-point) and part ii (comprising of four sub-points) of the judgment of the hon'ble jurisdictional high court, being the decision on amp expenses towards brand building of the foreign ae as an international transaction and the principle of law laid down about the procedure for determining the alp of such amp expenses, have neither been considered nor commented upon by the hon'ble supreme court ..... where a business is carried on between a resident and a non-resident and it appears to the assessing officer that, owing to the close connection between them, the course of business is so arranged that the business transacted between them produces to the resident either no profits or less than the ordinary profits which might be expected to arise in that business, the assessing officer shall determine the amount of profits which may reasonably be deemed to ..... (1) or sub-section (2) of section 92b, it cannot be reckoned as an international transaction so as to be eligible for processing under chapter x of the act. 14.3. .....
Tag this Judgment!Court : Delhi
..... of such eligible business for the purposes of the deduction under this section, take the amount of profits as may be reasonably ..... shall, for the purposes of determining the quantum of deduction under sub-section (5) for the assessment year immediately succeeding the initial assessment year or any subsequent assessment year, be computed as if such eligible business were the only source of income of the assessee during the previous year relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which ..... owing to the close connection between the assessee carrying on the eligible business to which this section applies and any other person, or for any other reason, the course of business between them is so arranged that the business transacted between them produces to the assessee more than the ordinary profits which might be expected to arise in such eligible business, the assessing officer shall, in computing the profits and gains ..... officer is required to determine the profits of the eligible undertaking by taking into account the market value of goods transacted between the businesses carried on by the assessee.26. .....
Tag this Judgment!Court : Delhi
..... of such eligible business for the purposes of the deduction under this section, take the amount of profits as may be reasonably ..... shall, for the purposes of determining the quantum of deduction under sub-section (5) for the assessment year immediately succeeding the initial assessment year or any subsequent assessment year, be computed as if such eligible business were the only source of income of the assessee during the previous year relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which ..... owing to the close connection between the assessee carrying on the eligible business to which this section applies and any other person, or for any other reason, the course of business between them is so arranged that the business transacted between them produces to the assessee more than the ordinary profits which might be expected to arise in such eligible business, the assessing officer shall, in computing the profits and gains ..... officer is required to determine the profits of the eligible undertaking by taking into account the market value of goods transacted between the businesses carried on by the assessee.26. .....
Tag this Judgment!Court : Delhi
..... of such eligible business for the purposes of the deduction under this section, take the amount of profits as may be reasonably ..... shall, for the purposes of determining the quantum of deduction under sub-section (5) for the assessment year immediately succeeding the initial assessment year or any subsequent assessment year, be computed as if such eligible business were the only source of income of the assessee during the previous year relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which ..... owing to the close connection between the assessee carrying on the eligible business to which this section applies and any other person, or for any other reason, the course of business between them is so arranged that the business transacted between them produces to the assessee more than the ordinary profits which might be expected to arise in such eligible business, the assessing officer shall, in computing the profits and gains ..... officer is required to determine the profits of the eligible undertaking by taking into account the market value of goods transacted between the businesses carried on by the assessee.26. .....
Tag this Judgment!Court : Delhi
..... of such eligible business for the purposes of the deduction under this section, take the amount of profits as may be reasonably ..... shall, for the purposes of determining the quantum of deduction under sub-section (5) for the assessment year immediately succeeding the initial assessment year or any subsequent assessment year, be computed as if such eligible business were the only source of income of the assessee during the previous year relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which ..... owing to the close connection between the assessee carrying on the eligible business to which this section applies and any other person, or for any other reason, the course of business between them is so arranged that the business transacted between them produces to the assessee more than the ordinary profits which might be expected to arise in such eligible business, the assessing officer shall, in computing the profits and gains ..... officer is required to determine the profits of the eligible undertaking by taking into account the market value of goods transacted between the businesses carried on by the assessee.26. .....
Tag this Judgment!Court : Delhi
..... of such eligible business for the purposes of the deduction under this section, take the amount of profits as may be reasonably ..... shall, for the purposes of determining the quantum of deduction under sub-section (5) for the assessment year immediately succeeding the initial assessment year or any subsequent assessment year, be computed as if such eligible business were the only source of income of the assessee during the previous year relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which ..... owing to the close connection between the assessee carrying on the eligible business to which this section applies and any other person, or for any other reason, the course of business between them is so arranged that the business transacted between them produces to the assessee more than the ordinary profits which might be expected to arise in such eligible business, the assessing officer shall, in computing the profits and gains ..... officer is required to determine the profits of the eligible undertaking by taking into account the market value of goods transacted between the businesses carried on by the assessee.26. .....
Tag this Judgment!Court : Delhi
..... of such eligible business for the purposes of the deduction under this section, take the amount of profits as may be reasonably ..... shall, for the purposes of determining the quantum of deduction under sub-section (5) for the assessment year immediately succeeding the initial assessment year or any subsequent assessment year, be computed as if such eligible business were the only source of income of the assessee during the previous year relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which ..... owing to the close connection between the assessee carrying on the eligible business to which this section applies and any other person, or for any other reason, the course of business between them is so arranged that the business transacted between them produces to the assessee more than the ordinary profits which might be expected to arise in such eligible business, the assessing officer shall, in computing the profits and gains ..... officer is required to determine the profits of the eligible undertaking by taking into account the market value of goods transacted between the businesses carried on by the assessee.26. .....
Tag this Judgment!Court : Delhi
..... of such eligible business for the purposes of the deduction under this section, take the amount of profits as may be reasonably ..... shall, for the purposes of determining the quantum of deduction under sub-section (5) for the assessment year immediately succeeding the initial assessment year or any subsequent assessment year, be computed as if such eligible business were the only source of income of the assessee during the previous year relevant to the initial assessment year and to every subsequent assessment year up to and including the assessment year for which ..... owing to the close connection between the assessee carrying on the eligible business to which this section applies and any other person, or for any other reason, the course of business between them is so arranged that the business transacted between them produces to the assessee more than the ordinary profits which might be expected to arise in such eligible business, the assessing officer shall, in computing the profits and gains ..... officer is required to determine the profits of the eligible undertaking by taking into account the market value of goods transacted between the businesses carried on by the assessee.26. .....
Tag this Judgment!Court : Delhi
..... stock exchange;] shall not be deemed to be a speculative transaction, [explanation four the purpose of this clause, the expressions ita 94/2013 page 7 (i) eligible transaction means any transaction - (a) carried out electronically on screen-based systems through a stock broker or sub-broker or such other intermediary registered under section 12 of the securities and exchange board of india ..... holdings of stocks and shares through price fluctuations; or (c) a contract entered into by a member of a forward market or a stock exchange in the course of any transaction in the nature of jobbing or arbitrage to guard against loss which may arise in the ordinary course of his business as such member (or) (d) an eligible transaction in respect of trading in derivatives referred to in clause {(ac)} of section 2 of the securities contracts (regulation) act, 1956 (42 of 1956) carried out in a recognized ..... that since the expression derivatives is defined only in section 43 (5) and since it excludes such transactions from the odium of speculative transactions, and further that since that has not been excluded from section 73, yet, the court would ..... whereby its contention about inapplicability of explanation to section 73 of the income tax act, 1961 in respect of its transactions, and the resulting relief in carry forward of its losses for the previous year, in respect of its ita .....
Tag this Judgment!Court : Delhi
..... proviso (d) to section 43(5) inserted with effect from 1st april, 2006 stipulates that eligible transactions should have been conducted/carried out only in recognized stock exchange, to be notified. ..... assessing officer relying upon the explanatory memorandum observed that the transactions undertaken between july, 2005 to september, 2005 were before 25th january, 2006 and, therefore, the derivative loss was not eligible under proviso (d) to section 43 (5) of the act ..... the derivative transactions between july, 2005 to september, 2005 were not eligible. ..... income tax appellate tribunal (tribunal, for short), the respondent has succeeded on the first issue and it has been observed that they were entitled to benefit under section 43(5) proviso (d), even in respect of transactions carried out with effect from 1st april, 2006. ..... with the tribunal that the delay occasioned, as procedure and formalities have to be complied with, should not disentitle and deprive an assessee, specially, when the transactions were carried through a notified stock exchange. ..... secondly, the derivative transactions were during the period july, 2005 to september, 2005 and proviso (d) to sub-section 5 to section 43 ..... the memorandum stipulated that transactions in respect of trading in derivatives in the aforesaid two stock exchanges with effect from 25th january, 2006 shall not be deemed to be speculative transactions. ..... the transactions in question it is accepted and an admitted position were conducted in the national stock .....
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