INCOME TAX ACT, 1961

Section 144C

Assessment - Validity - Applicability of bar of limitation provided under section 153 -

Assessee had entered into international transactions and case of assessee was referred to the TPO for determination of arm's length price. TPO passed order under section 92CA(3) on 30-1-2013 wherein, he recommended adjustment. Assessee filed objections before DRP against the draft Order, dt. 11-3-2013. DRP issued direction under section 144C(5) on 20-12-2013. Pursuant to that direction AO passed order under section 143(3) read with section 144C on 30-1-2014. Assessee's case was that order passed by AO was barred by limitation provided under section 153.Held: Section 144C is an independent/self-contained code and would not apply in case of an eligible assessee. In the instant case, assessment order was passed well within timeline provided under section 144C. Irrespective of the timelines prescribed under section 153, the order could not be held as time-barred.

Supported:Honda Trading Corp, Japan v. Dy. CIT [ITA No. 1132/del/2015, dt. 15-9-2015] : 2015 TaxPub(DT) 3901 (Del-Trib), Volvo India Pvt. Ltd. v. Asstt. CIT [IT (TP) A No. 1537/Bang/2012, dt. 8-5-2019] : 2015 TaxPub(DT) 3901 (Del-Trib) and Acer India Pvt. Ltd. v. Dy. CIT [502/Bang/ 2017, dt. 10-5-2019] : 2019 TaxPub(DT) 4020 (Bang-Trib).

REFERRED :

FAVOUR : Against the assessee.

A.Y. :

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