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2021 (9) TMI 1399 - AT - Income TaxTP Adjustment - time limit for TPO to pass the order - whether order passed under section 92CA(3) is barred by limitation as per section 153? - how the period of 60 days prior to the date of TP order computed? - HELD THAT:- As we find that as per sub-section 3 to section 92CA inserted with effect from 1.6.2007 time limit for TPO to pass the order is within the period of sixty days prior to the date of completion of the order as per section 153 of the Act. Since reference under section 92CA sub section (1) has been made to the TPO the time limit for passing the assessment order as per section 153(4) is extended by 12 months from the time limit as in section 153(1) - Hence, time limit to pass assessment order in this case is 31.12.2016. Since the TPO order is passed on 1.11.2016, on the touchstone of the aforesaid decisions it is clear that the TPO order passed is time barred as the due date in this case was 31.10.2016. Following the same reasoning as Coordinate Bench decision [2021 (3) TMI 563 - ITAT DELHI] as above in which Hon'ble Madras High Court decision [2021 (2) TMI 1152 - MADRAS HIGH COURT] has been followed, we hold that the order passed by the TPO is time barred and hence, is not legally sustainable. We note that no contrary order of Hon'ble Jurisdictional High Court has been cited before us in this regard. - Decided in favour of assessee.
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