Computation of operating margin of comparable companies under the Income Tax Act

Last updated: 29 June 2021
Quick Summary
This case concerns the calculation of operating margins for comparable companies under the Income Tax Act, 1961. The assessee argued that the tax authorities incorrectly rejected their chosen comparable companies and applied filters without proper justification. The dispute also involves the rejection of specific companies and the failure to make necessary economic adjustments, leading to a significant addition to the assessee's income.

Court :
ITAT Pune

Brief :
This appeal preferred by the assessee emanates from the directions of the Ld. Dispute Resolution Panel (DRP) dated 27.11.2020 passed u/s.144C(5) of the Income Tax Act, 1961 (hereinafter referred to as „the Act‟) for the assessment year 2016-17 as per the following grounds of appeal on record :

Citation :
ITA No. 133/PUN/2021

Daily Limit Reached

You have reached your daily limit of 2 Free Judgements

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?
  • No Ads
  • WhatsApp Community
  • Daily E-Newsletter
  • Unlimited Judgements Access
  • Profile Visitors
  • Link Social Profiles
  • Featured Job Posts
  • Pro Badge
  • Expert GST Guidance
  • Unlimited Forum Replies
  • Download Content in PDF
1 Year PLAN
1999
(Excl. of GST ₹359)

BEST VALUE
2 Years PLAN
3499
(Excl. of GST ₹629)

3 Months PLAN
999
(Excl. of GST ₹179)

View all CCI PRO benefits

Already a PRO member? Login here for an ad-free experience.

 

Guest
Published in Income Tax
Views : 118
downloaded 297 times
Share Report Abuse
Comments


Recent Judgments :

  1. CESTAT: Rajasthan Sales Tax Subsidy under RIPS 2010 Not includible in Excise Assessable Value
  2. CESTAT: Late Payment Charges in the Nature of Interest Not Taxable as Declared Service
  3. CESTAT: Educational Services Exempt Under Section 66D; Extended Period Cannot Be Invoked Without Wilful Suppression
  4. CESTAT: No Service Tax on Royalty under RCM if Mining Lease Was Executed Before 1 April 2016
  5. No pre-deposit required for filing appeal before the GSTAT against penalty-only orders where proceedings commenced prior to October 01 2025
  6. Refund cannot be withheld under Section 54(11) of the CGST Act merely because the Revenue contemplates filing an appeal
  7. Scope of Rectification under Section 161 of the CGST Act is Confined to Errors Apparent on the Face of Record
  8. Appellate Authority has no power to condone delay in filing appeal beyond the outer limit prescribed under Section 107(4) of the CGST Act
  9. CESTAT New Delhi: Sub-Contractor Separately Liable for Service Tax Regardless of Main Contractor's Discharge
  10. Cenvat Credit Cannot Be Denied Merely on Third-Party Statements Without Corroborative Evidence

View More Judgments »


Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Pro Member CA Narender YarragorlaCA Narender YarragorlaPro Member Panpaliya Taori Panpaliya Taori Pro Member Raj GuptaRaj GuptaPro Member G.NagaseshareddyG.NagaseshareddyPro Member Badhri NarayananBadhri Narayanan
Subscribe to Pro
Join an elite circle of professionals

Browse by Category




Latest Job Openings

View all
Company
24 August 2026
Semi-Qualified CA/CA Finalist - Tax, GST, Audit & Accounts

Bharat Shah & Associates

Mumbai

CA Inter

View Details
Company
27 August 2026
ACCOUNTANT

CHARUPREETI & CO

Noida

Graduate (Any)

View Details
Company
20 September 2026
Semi Qualified CA

Navin & Associates

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 25 August 2026
CA Article's

Saini Pati Shah & Co LLP

Mumbai

CA Inter

View Details
Company
15 September 2026
Client-site CA associate

Aditya Muley and Co

Mumbai

CA

View Details
Company
28 August 2026
Audit Manager

K A R M & CO

Mumbai

CMA

View Details
Company
ARTICLESHIP 07 September 2026
CA Articles

Kothari Jain Patil & Chartered Accountants

Pune

CA Inter

View Details
Company
ARTICLESHIP 26 August 2026
Article Assistant

ANIVESH CONSULTANTS LLP

Gurgaon

CA Inter

View Details