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2023 (2) TMI 511 - AT - Income TaxAssessment u/s 144C - Addition u/s 69A - direction of learned DRP is to delete the addition made in the draft assessment order - HELD THAT:- Sub-section (10) of section 144C makes it clear that every direction issued by learned DRP shall be binding on the AO. Sub-section (13) of section 144C provides that after receiving the direction of learned DRP, AO shall in conformity with the direction complete the assessment without providing any further opportunity of being heard to the assessee. The requirement of providing a personal hearing to the assessee at the final assessment stage has been dispensed with only for the reason that the AO has no other scope but to implement the direction of learned DRP. In the facts of the present appeal, the only direction of learned DRP is to delete the addition made in the draft assessment order. Therefore, the clear mandate given to the AO by learned DRP is to restrict himself to delete the addition - Whereas, the Assessing Officer has travelled beyond the direction given by learned DRP and made addition which he himself accepted as explained in the draft assessment order. Thus, the impugned assessment order has been passed in clear violation of the directions of learned DRP. Therefore, the assessment order is a nullity in the eyes of law as it is against the provisions contained under sub-section (10) and (13) of section 144C of the Act. That being the factual and legal position, we quash the final assessment order.
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