Merely because transaction is with an AE can't be a ground to reject it as a comparable when transaction is at arm's length
Income-tax : For transfer pricing adjustments, it will be most appropriate to compare the transactions for the same year for which the figures are available in respect of comparables which have already been accepted by the department [Section 92C of the Income-tax Act, 1961 - Transfer Pricing]
l Where both the comparables selected by the assessee and those by AO were not suitable for comparison due to difference in nature of business, transactions in assessee's own case for a particular year which was found to be at arm's length in that year should be adopted as basis as the business being same, it would give better results - [2011] 10 taxmann.com 140 (Mum. - ITAT)
Income-tax : For transfer pricing adjustments, it will be most appropriate to compare the transactions for the same year for which the figures are available in respect of comparables which have already been accepted by the department [Section 92C of the Income-tax Act, 1961 - Transfer Pricing]
l Where both the comparables selected by the assessee and those by AO were not suitable for comparison due to difference in nature of business, transactions in assessee's own case for a particular year which was found to be at arm's length in that year should be adopted as basis as the business being same, it would give better results - [2011] 10 taxmann.com 140 (Mum. - ITAT)
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