DENSO INDIA LIMITED Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) These two appeals by the assessee require resolution of common questions of law and arise from identical or closely similar circumstances. The questions of law framed in these appeals, on 17.10.2014, are as follows:

(2.) Whether there is a contradiction in the order of the Income Tax Appellate Tribunal as it has directed that the Transfer Pricing Officer should apply Comparable Uncontrolled Price Method?

(3.) In ITA 443/2013, the facts are that the assessee had filed its return for AY 2002 -03, declaring a total income of Rs. 19,44,45,442/ - which was originally processed under Sec. 143(1). It was later taken up for scrutiny during the course of which the AO referred the case to the TPO. In issue is the transfer pricing adjustment pursuant to the ALP determination recommended by the TPO and accepted by the AO to the extent of Rs. 1,36,31,665/ -. The AO finalized the assessment on 30.03.2005. The assessee's appeal was allowed by the CIT, who on 30.04.2009 directed the cancellation of the above. The Revenue appealed and was successful before the ITAT which restored the addition of the said transfer pricing adjustment amount of Rs. 1.36 crores.