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TMI Blog2024 (6) TMI 977X X X X Extracts X X X X X X X X Extracts X X X X ..... on or before 31.07.2022. Since, the AO has passed final assessment order for AY 2018-19 on 30.12.2022, in our considered view, the order passed by the AO is barred by limitation and is liable to be quashed and thus, we quashed final assessment orders passed by the AO for AY 2017-18 dated 02.01.2023 and for AY 2018-19 dated 30.12.2022 since both are barred by limitation in terms of sec.144C(13) of the Act. Appeal of assessee allowed. - SHRI V. DURGA RAO, HON BLE JUDICIAL MEMBER AND SHRI MANJUNATHA. G, HON BLE ACCOUNTANT MEMBER For the Appellant Shri Sriram Seshadri, CA For the Respondent Ms. Ann Marry Baby, CIT ORDER PER MANJUNATHA.G, AM: These two appeals filed by the assessee are directed against final Assessment Order passed by the AO u/s.143(3) r.w.s.144C(13) of the Income Tax Act, 1961 (in short the Act ) dated 02.01.2023 30.12.2022 in pursuant to directions of the Dispute Resolution Panel-2, Bengaluru, u/s.144C(5) of the Act, dated 30.05.2022 20.06.2022 and pertains to assessment years 2017-18 2018-19. Since, facts are identical and issues are common, for the sake of convenience, these appeals were heard together and are being disposed off, by this consolidated order. 2 . T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ellant's own case on this issue for AY 2012-13, which is binding on such authorities. Further, the lower authorities erred in misapplying the decisions of the jurisdictional bench of this Hon'ble Tribunal based on their erroneous understanding and without appreciating the facts of the case. 4.2. The lower authorities erred in making an upward TP adjustment of INR 263.52 Crores, towards alleged brand building activities undertaken by the Appellant for its AEs, holding that the said alleged expenditure is to be recovered along with a mark-up. 4.3. The lower authorities erred in alleging that, the expenditure incurred by the Appellant towards advertising and sales promotion for its own business with domestic unrelated parties, constitutes an international transaction undertaken to increase the brand value of its AE, based purely on conjectures and surmises, without any tangible evidence, and in violation to the provisions of the Act. 4.4. The lower authorities erred in alleging that the Appellant rendered brand-building services to its AE, without establishing that such services were actually rendered or that the Appellant incurred AMP expenditure for the benefit of its AEs pu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... patriates and consequently the Appellant is not liable to pay salary to the expatriates. 5.7. The lower authorities erred in recharacterizing the impugned payment to RNGM, despite the same being examined and accepted by the Ld. TPO to be in the nature of reimbursement of SSB. 5.8. The lower authorities erred in adopting an inconsistent approach of disallowing the said payment, without appreciating that during the course of proceedings under section 201 of the Act for the AY 2016-17, the Appellant's submission that there is no TDS liability on the reimbursement of SSB was accepted by the International Wing of the Income tax department. The Appellant prays that directions be given to grant all such relief arising from the grounds of appeal mentioned supra and all consequential relief thereto . The grounds of appeal raised by the Appellant herein are without prejudice to each other. The Appellant craves leave to add to and/or to alter, amend, rescind, modify the grounds herein above or produce further documents before or at the time of hearing of this Appeal. 3 . The brief facts of the case are that the assessee, M/s.Renault India Pvt. Ltd., is a part of Renault Group, France, is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eved by the final assessment orders, the assessee is in appeals before us. 5. The Ld.Counsel for the assessee, Shri Sriram Seshadri, CA, referring to Ground No.3 of the assessee s appeal for both assessment years submitted that the final assessment orders passed by the AO u/s.143(3) r.w.s.144C(13) of the Act, dated 02.01.2023 30.12.2022, for both assessment years is barred by limitation, since the order passed by the AO is beyond prescribed time limit u/s.144C(13) of the Act, and therefore, liable to be quashed. The Ld.Counsel for the assessee referring to dates and events in respect of various orders passed by the TPO, draft assessment order passed by the AO, directions issued by the DRP, and final assessment order passed by the AO, submitted that as per provisions of Sec.144C(13) of the Act, the AO shall pass final assessment order within one month from the end of the month, in which, such directions received by the AO. He further referring to reply received from the AO, in response to query raised by the assessee with regard to date of receipt of directions issued by the DRP, the AO has confirmed that the directions of the DRP was received by the AO as stated by the assessee and ..... X X X X Extracts X X X X X X X X Extracts X X X X
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