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2023 (9) TMI 1306 - ITAT DELHIValidity of final assessment order - AO has not implemented the directions of DRP in letter and spirit as per the mandate of section 144C(13) - HELD THAT:- As could be seen from the aforesaid observations of learned DRP, it has issued a specific direction to the AO to verify from his records whether he has asked for further details/query from the assessee during the remand proceeding, which the assessee did not furnish. In case, it is so, the addition to be retained. DRP had further directed, in case, AO has not asked for any clarification or conducted any inquiry during the remand proceeding, AO must record, as to why and under what circumstances, he did not conduct any inquiry relating to the manner of delivery of services or proof of employees visiting India for rendering such services, that too, without providing any opportunity to the assessee. DRP also directed the AO to pass a speaking order. On a reading of the final assessment order, more particularly, the observations of the AO in paragraphs 8 and 9, we are of the view that the AO has completely disregarded the specific directions of learned DRP and has passed the final assessment order in a perfunctory and cavalier manner. Thus, in our view, the Assessing Officer has disobeyed the statutory mandate. We are inclined to set aside the final assessment order and restore the matter back to the AO for fresh adjudication of the issues contested by the assessee in course of proceeding before DRP and before us, as well. AO is directed to consider the additional evidences furnished by the assessee before DRP on their own merits and pass assessment order with proper reasoning in the light of the directions issued by DRP. Before passing the order, AO must provide reasonable opportunity of being heard to the assessee. Grounds are allowed for statistical purposes.
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