IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH, BANGALORE BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SHRI SOUNDARARAJAN K, JUDICIAL MEMBER IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 293/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 293/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 293/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 293/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 293/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 293/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 253/Bang/2016 Assessment Year: 2011-12 IT(TP)A No. 293/Bang/2016 Assessment Year: 2011-12 Assessee by : Shri Sachit Jolly, Sr. Advocate & Ms. Viyushti Rawat, Advocate & Shri Aditya Matulli, Advocate Revenue by : Dr. KJ Divya, CIT (DR)

Date of hearing : 09.12.2025 Date of Pronouncement : 27.01.2026

O R D E R

PER WASEEM AHMED, ACCOUNTANT MEMBER:

These cross appeals at the instance of the assessee and revenue are directed against the assessment order passed by the Ld. TPO u/s 143(3) r.w.s. 144C(13) of the Act., in pursuant to the directions of the Ld. DRP issued u/s 144C(5) of the Act dt. 28.12.2015.

First, we take up assessee’s appeal in IT(TP)A No.

293/Bang/2016

2. In the memo of appeal, the assessee has raised as many as 15 grounds of appeal challenging the addition made on the issue of Transfer pricing adjustment as well as on corporate issues, we for the sake of brevity and convenience are not inclined to reproduce here.

3. The assessee has also filed additional grounds of appeal dt. 30.10.2025, number as additional ground No. 6A, 16 and 17 on the issue of inclusion & exclusion of certain comparables in transfer pricing study while determining the ALP.

4. The assessee, in the application for admission of additional grounds, argued that the issues raised are arising from the appellate order (learned DRP) and for the adjudication of the same, there is no requirement for any fresh examination of facts. The issue raised in the additional grounds are fundamental to the resolution of the case and necessary to correctly assessee the tax liability. Consequently, the assessee's learned AR requested that the additional ground be admitted for adjudication.

5. On the other hand, the learned (DR) opposed the admission of the additional grounds of appeal, arguing that these grounds had not been raised before the lower authorities.

6. We have heard the rival submissions of both the parties and perused the materials available on record. The Hon’ble Supreme Court in the case of National Thermal Power Co. Limited vs. CIT reported in 229 ITR 383 has held as under:

“ Under section 254 of the Income-tax Act, 1961, the Appellate Tribunal may, after giving both the parties to the appeal an opportunity of being heard, pass such orders thereon as it thinks fit. The power of the Tribunal in dealing with appeals is thus expressed in the widest possible terms. The purpose of the assessment proceedings before the taxing authorities is to assess correctly the tax liability of an assessee in accordance with law. If, for example, as a result of a judicial decision given while the appeal is pending before the Tribunal, it is found that a non-taxable item is taxed or a permissible deduction is denied, there is no reason why the assessee should be prevented from raising that question before the Tribunal for the first time, so long as the relevant facts are on record in respect of the item. There is no reason to restr