Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2022 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (1) TMI 1033 - AT - Income TaxValidity of proceedings u/s. 92CA(3) passed after expiry of limitation period - period of limitation - Time limit for completion of assessments - HELD THAT: - As in case of Honda Trading Corporation [2015 (9) TMI 846 - ITAT DELHI] wherein, it was held that the time limit specified u/s. 92CA(3A) is mandatory and not directory and therefore the Ld. TPO is bound by the time limit for passing of the order u/s. 92CA (3) of the Act. Accordingly, in that case time limit as per section 153(1) of the Act was up to 7.06.2014 and the Ld. TPO passed his order on 31.05.2014 instead of on or before 08.04.2014, hence order passed by the Ld. TPO therein was held to be time barred. Hon'ble Delhi Tribunal further held that in such circumstances the final assessment order would be same but the addition on account of transfer pricing adjustment arising from the determination of the ALP of the international transaction by the TPO emanating from his time barred order passed u/s. 92CA(3) is unsustainable In the present facts, the Ld. CIT.DR has in the written submission mentioned that the order of the Ld. TPO is passed on 29.01.2014 or 30.01.2014 but dated 31.01.2014. Then, the order of the Ld. TPO is not only irregular, wrong or illegal but is also null and void. Such action cannot be considered to be of any irregularity in the procedure, so as to get any kind of protection u/s. 292BB of the Act. In view of above and following judicial precedent cited before us by the ld. AR being decision of the coordinate bench we hold that the order of the ld. TPO passed on 31.01.2014 is barred by limitation and liable to be quashed. Therefore, consequently, the proposed addition on account of transfer pricing adjustment amounting to does not survive. - Decided in favour of assessee.
|