2023 (3) TMI 1492 - AT - Income Tax

Validity of order passed u/s 144C beyond period of limitation - HELD THAT - No strength of the arguments of the Assessing Officer and the ratio given by the revenue authorities is against the law laid down. The final order passed by the Assessing Officer is beyond the period of limitation as provided u/s 144C of the Income Tax Act, 1961 and hence, the same is liable to be declared as null and void.

Summary

Issues involved: Appeal against order u/s 143(3) r.w.s. 144C(13) of the Income Tax Act, 1961.

Summary:
The appeal and Stay Application were filed by the assessee against the order dated 26.03.2022 passed by the Assessing Officer (AO) u/s 143(3) r.w.s. 144C(13) of the Income Tax Act, 1961. The assessee is engaged in the business of manufacturing telecommunication equipments and providing maintenance services in India. The key dates involved in the case include the date of filing return, order of the Transfer Pricing Officer, draft order by the AO, order of the Dispute Resolution Panel, and the Assessment Order. The AO rebutted the issue of the order being "barred by limitation." The provisions of Section 144C were examined, emphasizing the process involving the draft order, objections by the assessee, and completion of assessment by the AO. After hearing arguments and reviewing the material, it was concluded that the final order by the AO exceeded the period of limitation as per u/s 144C, rendering it null and void. Consequently, the appeal of the assessee was allowed, and the Stay Application was dismissed as in fructuous. The order was pronounced in the Open Court on 13/03/2023.