Topic

Rule 10B

2 articlesLatest July 2026
Inclusion of functional comparables & working-capital adjustment; exclusion of non-comparable firms under Rule 10B(2) | Transfer-Pricing Appeal : ITAT Delhi
Case Law Analysis
|Income Tax Appellate Tribunal

Inclusion of functional comparables & working-capital adjustment; exclusion of non-comparable firms under Rule 10B(2) | Transfer-Pricing Appeal : ITAT Delhi

The Delhi ITAT partially upheld WSP Consultants’ appeal, directing the assessing officer to incorporate functional comparables and adjust working-capital for AY 2021-22, while striking out firms lacking comparable functions. This refines peer-selection under Rule 10B(2) for similar transfer-pricing cases.

OECD Guidelines & Rule 10B Mandate Transaction Delineation Over Label for CCD Transfer Pricing : ITAT Bangalore
Case Law Analysis
|Income Tax Appellate Tribunal

OECD Guidelines & Rule 10B Mandate Transaction Delineation Over Label for CCD Transfer Pricing : ITAT Bangalore

ITAT Bangalore rules that the arm's-length price of interest on compulsorily convertible debentures (CCDs) must be determined by analyzing the transaction's economic substance under OECD Guidelines and Rule 10B, not merely by classifying the instrument as debt or equity. The decision impacts multinational enterprises and tax authorities by reinforcing the need for functional analysis in transfer pricing disputes involving hybrid instruments.

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