Affinity Express India Private Ltd., Pune V. Deputy Commissioner of Income-tax,

ITA 288/PUN/2015

• Counselvise Citation: [2017] 128 COUNSELVISE.COM (IT) 7236 (ITAT-PUNE)
• Duration Of Justice: 1 year(s) 9 month(s) 30 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-01-2017
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Assessment Year: 2010-2011
• Appeal Filed On: 20-03-2015
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Assessee Lawyers: VISHAL SOLANKI
• Keywords: Transfer pricing; International transaction
• Section: 92C; 143(3); 142(1)

Judgement Text

1 ] IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH A, PUNE , ! ' , # $ BEFORE MS. SUSHMA CHOWLA, JM AND SHRI ANIL CHATURVEDI, AM . / ITA NO.288/PUN/2015 % % / ASSESSMENT YEAR : 2010-11 AFFINITY EXPRESS INDIA PRIVATE LIMITED, OFFICE NO.6B, 7& 8, 4 TH FLOOR, C WING, GODREJ ETERNIA, WAKDEWADI, SHIVAJI NAGAR, PUNE. PAN : AABCC1224C. . APPELLANT VS. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 1(1), PUNE. .RESPONDENT / APPELLANT BY : SHRI VISHAL SOLANKI / RESPONDENT BY : SHRI RAJEEV KUMAR & / ORDER PER ANIL CHATURVEDI, AM: THE APPEAL FILED BY THE ASSESSEE IS EMANATING OUT OF THE ORDER OF DY.COMMISSIONER OF INCOME-TAX (APPEALS)-TP-1(1), PUNE DT.22.01.2015 FOR THE ASSESSMENT YEAR 2010-11. 1. ASSESSEE IS A COMPANY STATED TO BE ENGAGED IN EMBR OIDERY SOFTWARE DESIGNING AND DOCUMENT CREATION BUSINESS. ASSE SSEE / DATE OF HEARING : 19.01.2017 / DATE OF PRONOUNCEMENT: 19.01.2017 2 FILED ITS ORIGINAL RETURN OF INCOME FOR A.Y. 2010-11 ON 14.10.20 10 DECLARING TOTAL INCOME OF RS.2,62,93,160/-. THE CASE WAS S ELECTED FOR SCRUTINY AND NOTICE U/S 143(2) AND 142(1) WAS ISSUED A ND SERVED ON THE ASSESSEE. AO NOTICED THAT ASSESSEE HAD ENTERED INTO INTERNATIONAL TRANSACTIONS WITH ITS ASSOCIATE ENTERPRISE A GGREGATING TO RS.24,62,17,157/-. HE THEREAFTER REFERRED THE CASE TO TRANSFER PRICING OFFICER (TPO) FOR DETERMINING THE ARMS LENGTH PRICE (ALP) U/S 92CA(3) OF THE ACT. TPO IN THE ORDER PASSED U/S 92C A(3) DATED 15.01.2014 DID NOT ACCEPT THE BENCH-MARKING OF THE INTERN ATIONAL TRANSACTIONS DONE BY THE ASSESSEE AND PROPOSED UPWAR D ADJUSTMENTS OF RS.3,40,53,304/- WITH RESPECT TO IT ENABLE D SERVICES. ON RECEIPT OF DRAFT ASSESSMENT ORDER PASSED U /S 143(3) R.W.S 143(1) OF THE ACT, ASSESSEE FILED ITS OBJECTIONS BEFORE DISPUTE RESOLUTION PANEL (D.R.P). D.R.P. AFTER ADJUDICATING THE CONTENT IONS RAISED BY THE ASSESSEE ISSUED DIRECTIONS U/S 144(C5) VIDE ORDER DT.28.11.2014. THE DCIT (TP) (1) AFTER CONSIDERING THE DIREC TIONS OF D.R.P. PROPOSED AN ADJUSTMENT OF RS.2,47,40,016/-. THEREAFT ER AO PASSED ORDER U/S 143(3) R.W.S. 144C(13) VIDE ORDER DT.22.01.2 015 AND DETERMINED THE TOTAL INCOME AT RS.5,10,33,180/-. AGGR IEVED BY THE ORDER OF AO, ASSESSEE IS NOW IN APPEAL BEFORE US. 2. BEFORE US, ASSESSEE VIDE LETTER DT.11.01.2017 HAS MADE A REQUEST FOR WITHDRAWAL OF APPEAL, INTER-ALIA FOR THE REASON T HAT IT HAD INVOKED MUTUAL AGREEMENT PROCEDURE (MAP) UNDER ART ICLE 27(1) OF DOUBLE TAXATION AVOIDANCE AGREEMENT (DTAA) BETWEEN IND IA AND USA AND HAD SOUGHT TO RESOLVE THE DISPUTE. IT IS FURTHE R SUBMITTED THAT THE COMPETENT AUTHORITIES OF BOTH THE COUNTRIES HA VE MUTUALLY AGREED ON A SETTLEMENT AND THE ASSESSEE WOULD ACCEPT THE 3 AGREEMENT AND THEREFORE THE ASSESSEE WISHES TO WITHDRA W THE IMPUGNED APPEAL. IT IS THEREFORE PRAYED FOR PERMISSION TO WITHDRAW THE APPEAL. LD. D.R. HAD NO OBJECTION TO THE WITHDRAWAL OF APPEAL FILED BY THE ASSESSEE. 3. WE HAVE HEARD THE RIVAL SUBMISSIONS AND PERUSED THE MATERIAL ON RECORD. IN VIEW OF THE SUBMISSIONS MADE BY TH E ASSESSEE IN ITS LETTER DT.11.01.2017 AND THE SUBMISSIONS MA DE BY LD.A.R, THE APPEAL OF THE ASSESSEE IS DISMISSED AS WITHDRAWN. 4. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS DISMI SSED. ORDER PRONOUNCED IN THE OPEN COURT ON THE 19 TH DAY OF JANUARY, 2017. SD/- SD/- ( SUSHMA CHOWLA ) ( ANIL CHATURVEDI ) / JUDICIAL MEMBER # / ACCOUNTANT MEMBER PUNE; DATED : 19 TH JANUARY, 2017. YAMINI & ' (!)* +*! / COPY OF THE ORDER FORWARDED TO : 1 . / THE APPELLANT 2. / THE RESPONDENT 3 . 4. 5 6. DCIT(TP-III), PUNE / DRP, PUNE. DIT, TP, PUNE. !' # 1 #$%, ' $% , / DR, ITAT, A PUNE; '() * / GUARD FILE & / BY ORDER, // // TRUE COPY // T // TRUE COPY // , -./0 / ASSISTANT REGISTRAR, ' $% , / ITAT, PUNE.