Held that the additional ground raised by the assessee on the issue of the final assessment order being barred by limitation went to the root of the matter and was purely a legal issue not requiring any verification of facts. The additional ground is admitted .\u00a0 That the time-limit prescribed under section\u00a0153\u00a0of the Act for the completion of assessment was December 31, 2019 for the assessment year\u00a02016-17\u00a0considering the extended period of one year as per the third proviso thereto. Section\u00a092CA(3A)\u00a0mandates that the Transfer Pricing Officer pass an order at any time before sixty days prior to the date on which the period of limitation referred to in section\u00a0153\u00a0of the Act expires. In order to reckon sixty days prior to that date, the date of December 31, 2019 should be ignored. Hence, sixty days prior to December 31, 2019 would fall on October 31, 2019, i. e., thirty days in December and thirty days in November. The Transfer Pricing Officer was bound to pass an order under section\u00a092CA(3)\u00a0of the Act on or before October 31, 2019. Since the order was passed on November 1, 2019 it is\u00a0 barred by limitation.<\/p>\n
That once the order of the Transfer Pricing Officer was barred by limitation, the assessee would not be an \u201deligible assessee\u201d under section\u00a0144C(15)(b)(i)\u00a0of the Act. Accordingly, the extended time period provided by the third proviso to section\u00a0153\u00a0of the Act would not apply. The draft assessment order passed by the Assessing Officer on December 27, 2019 would also be barred by limitation. It thus became an order void ab initio. Any subsequent proceedings emanating from the illegal and invalid order including the directions of the Dispute Resolution Panel and the final assessment order also became void ab initio. The final assessment order is\u00a0 bad in law.(AY. 2016-17)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 144C : Reference to dispute resolution panel-International Transactions-Arm\u2019s Length Price-Limitation-Period of sixty days to be counted from day prior to date on which period of limitation for assessment expires-Order barred by limitation-Order non est-Ceased to be eligible assessee-Draft assessment order, directions of Dispute Resolution Panel and final asessment order void ab initio-Tribunal has the power to admit additional ground on limitation . [ S.92CA(3) 153 , 254(1) ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-44836","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-bFa","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/44836","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=44836"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/44836\/revisions"}],"predecessor-version":[{"id":44837,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/44836\/revisions\/44837"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=44836"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=44836"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=44836"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}