ITAT holds Corporate Guarantee Given to Overseas Subsidiary Requires TP Benchmarking, but Guarantee Commission Cannot Exceed 0.5%:
The ITAT Delhi ruled that the arm's length guarantee commission should be restricted to 0.5% instead of 1.3% adopted by the Transfer Pricing Officer.
Corporate Guarantee to AE is International Transaction
Saima
Jul 25, 2026
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ITAT holds Corporate Guarantee Given to Overseas Subsidiary Requires TP Benchmarking, but Guarantee Commission Cannot Exceed 0.5%
The ITAT Delhi ruled that the arm's length guarantee commission should be restricted to 0.5% instead of 1.3% adopted by the Transfer Pricing Officer.
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Saima
Content Writer
Saima is a Law graduate with a passion for research and content writing. She writes for Finance, Taxation and Legal Updates at Studycafe.in, simplifying complex legal decisions by the ITAT, High Court, AAR and GSTAT into uncomplicated and clear explanations.
Saima is a Law graduate with a passion for research and content writing. She writes for Finance, Taxation and Legal Updates at Studycafe.in, simplifying complex legal decisions by the ITAT, High Court, AAR and GSTAT into uncomplicated and clear explanations.
StudyCafe
Delhi, Delhi, India
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