Home Case Index All Cases Income Tax Income Tax + SC Income Tax - 2019 (8) TMI SC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (8) TMI 661 - SC - Income TaxBinding effect of instruction of CBDT on AO - Instruction No.3/2003 dated 20.05.2003 regarding reference to TPO - AO made TP adjustment without making reference to TPO - ITAT deleted the addition due to non reference to TPO - whether matter was need to remanded by ITAT before AO to make further reference to TPO - HELD THAT:- In view of the guidelines issued by the CBDT in Instruction No.3/2003 the Tribunal was right in observing that by not making reference to the TPO, the AO had breached the mandatory instructions issued by the CBDT. We do not find the conclusion so arrived at by the Tribunal to be incorrect. However, the Tribunal ought to have accepted the submission made by the Departmental Representative as quoted in para 16.2 of its order and the matter ought to have been restored to the file of the Assessing Officer so that appropriate reference could be made to the TPO. It would therefore be upto the authorities and the Commissioner concerned to consider the matter in terms of Sub-Section (1) of Section 92CA. We, therefore, allow this Appeal to the aforesaid extent and direct that it would now be upto the AO to take appropriate steps in terms of Instruction No.3/2003.
|