searching for case law in income tax
This query is : Resolved
10 August 2008
There is a SC(CCE V Guru Nanak Refrigeration Corporation) decision in Central Excise stating that 'arms length price can fall below cost of production '.
In Guru Nanak Refrigeration corporation V CCE-(1996)81ELT290(CEGAT 3 member bench )
its held that -if price is the sole consideration and if dealings between assessee and buyer are at arms length, assessable value will be decided on the basis of selling price ,even if its below manufacturing cost.
I want to know whether there is similar case law in Income Tax to prove that price is at arm's length even if its below cost of production.That is price below cost is not the sole criteria for determining arms length price.
In Guru Nanak Refrigeration corporation V CCE-(1996)81ELT290(CEGAT 3 member bench )
its held that -if price is the sole consideration and if dealings between assessee and buyer are at arms length, assessable value will be decided on the basis of selling price ,even if its below manufacturing cost.
I want to know whether there is similar case law in Income Tax to prove that price is at arm's length even if its below cost of production.That is price below cost is not the sole criteria for determining arms length price.
27 August 2008
Price should be the
'sole consideration for sale", sale should not to a related person as defined in the act, then the price will be taken as final even if it is below cost, cost is not a critaria for deciding sale price both are different for taxation purpose.
It is a business conviction to sale at cost plus.
arbindaggarwal@yahoo.com
'sole consideration for sale", sale should not to a related person as defined in the act, then the price will be taken as final even if it is below cost, cost is not a critaria for deciding sale price both are different for taxation purpose.
It is a business conviction to sale at cost plus.
arbindaggarwal@yahoo.com
29 August 2008
hai Mr.Arbind,
is there any case law in income tax to give as supporting evidence to prove that price is at arms length even if its below cost?
is there any case law in income tax to give as supporting evidence to prove that price is at arms length even if its below cost?
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- GSTR-1A How to update Invoice
- Excess salary payment.
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- TDS on Purchase of Immovable Property by NRI from NRI
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Capital gain from sale of house property
- Stamp Paper for partnership firm change new income tax 2025
- SFT Cash Deposit in Current Account
- When TDS on GST applied
- Before GSTAT- APL-02 Vs APL-04
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
