Validity of assessment order passed u/s 144C - The ITAT held ...
Tax Assessment Order Misclassified, Violates Section 144C; Tribunal Rules in Favor of Assessee, Declares Orders Null.
April 15, 2024
Case Laws Income Tax AT
Validity of assessment order passed u/s 144C - The ITAT held that the order issued by the AO was a final assessment order disguised as a draft, violating section 144C of the Act. This section mandates that a draft order must be issued first, allowing the assessee to file objections with the Dispute Resolution Panel (DRP) before finalizing the assessment. The inclusion of penalty notices and demand under section 156 alongside the draft/final order further supported the Tribunal's conclusion that the order was final. The Tribunal concluded that the appeal by the assessee was to be allowed and the orders by the lower authorities were declared non est (non-existent for legal purposes).
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