Mumbai: The Bombay high court (HC) on Thursday adjourned the hearing of the alleged transfer pricing case involving the Indian unit of Royal Dutch Shell Plc to 24 February.

Shell India has challenged the tax demand through petitions in the high court. The firm is fighting a tax order accusing it of underpricing an intra-group share transfer by 15,000 crore and consequently evading taxes.

Transfer pricing is the practice of arm’s length pricing for transactions between group companies based in different countries to ensure that a fair price—one that would have been charged to an unrelated party—is levied.

The case is a fallout of retrospective amendments introduced in the national budget of 2012 that included capital financing under the transfer-pricing net.

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