Applicability of section 92CA can be made after considering section 92A, 92B and provision of transfer pricing cannot avoid book result and adjustment only can made after giving de

Last updated: 07 August 2012

Court :
INCOME TAX APPELLATE TRIBUNAL

Brief :
The relevant material facts are like this. The assessee before us, Dongfang Electric Corporation (DEC, in short) is a non-resident company - incorporated under the laws of, and fiscally domiciled in, the People’s Republic of China. The assessee had filed its return of income, on 31st July 2007, disclosing a loss of Rs 67,11,07,016. This income tax return was picked up for the scrutiny assessment proceedings, and, in the course of the assessment proceedings which followed, the Assessing Officer noticed that the assessee had entered into two separate contracts with Indian entities- (i) one with West Bengal Power Development Corporation Limited (WBPDCL, in short) for setting up of Units 1 and 2 ( of 300 MW each) for Sagardighi Thermal Power Projects at Murshidabad, West Bengal; and (ii) the other with Durgapore Projects Limited (DPL, in short) for setting up Unit 7 (of 300 MW) for Durgapur Project Power Station at Durgapur, West Bengal

Citation :
Dongfang Electric Corporation ………………….Appellant 71-73, First Section, West Yihyuan Avenue Chengdu 610041, Sichuan Province, China [PAN : AACCD0559L] Vs. Deputy Director of Income Tax- International Taxation 1(1), Kolkata …………….…Respondent