Pre-amendment reassessment limitation bars late notices under the preserved regime, invalidating consequential reassessment for affected earlier asses...
Cash-sales explanations for bank deposits require documentary reconciliation; reassessment notice survived where effective response time was available...
Functional comparability in transfer pricing prevents ad hoc arm's length adjustments where functions, assets, risks and reliable comparables are unes...
The HC held that a remand by the ITAT to the AO/TPO for fresh consideration of transfer pricing issues does not obviate the mandatory requirement under Section 144C of the Act to issue a draft assessment order. The AO must forward the draft assessment order to the assessee, allowing them to accept or object to any prejudicial variations before finalizing the assessment. Failure to comply with this procedural mandate renders the assessment order invalid and vitiated by incurable illegality, not merely a procedural irregularity. Consequently, the writ petition was allowed, reaffirming that the procedure under Section 144C is indispensable even on remand.
The HC held that a remand by the ITAT to the AO/TPO for fresh consideration of transfer pricing issues does not obviate the mandatory requirement under Section 144C of the Act to issue a draft assessment order. The AO must forward the draft assessment order to the assessee, allowing them to accept or object to any prejudicial variations before finalizing the assessment. Failure to comply with this procedural mandate renders the assessment order invalid and vitiated by incurable illegality, not merely a procedural irregularity. Consequently, the writ petition was allowed, reaffirming that the procedure under Section 144C is indispensable even on remand.
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