TaxTMI 
TaxTMI 
2013 (9) TMI 679
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....the international transactions entered into by the assessee with its associate enterprises (AE) were more than Rs. 15 crores. A reference was made under section 92CA(1) to the Transfer Pricing Officer (TPO) and order under section 92CA(3) dated September 20, 2010 has been received by the Assessing Officer from the Additional Commissioner of Income-tax, Transfer Pricing-II(3). Thereafter the draft order was passed under section 144C(1) read with section 143(3) with an intimation to the assessee to file necessary objections, if any, before the Dispute Resolution Panel. The assessee filed its application on December 23, 2010 in Form 35A which was rejected by the Dispute Resolution Panel vide its order dated July 4, 2011. Thereafter the Assessing Officer completed the assessment under section 143(3) read with section 144C warranting transfer pricing adjustment of Rs.18,18,88,479 as per the order of the Transfer Pricing Officer under section 92CA(3). Since the Dispute Resolution Panel rejected the application suo motu as non est, and not maintainable ab initio, the assessee preferred appeal to the Commissioner of Income-tax (Appeals) as per the provisions. The Commissioner of Income-tax....
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....ompany, by the managing director thereof, or where for any unavoidable reason such managing director is not able to sign and verify the return, or where there is no managing director, by any director thereof : Provided that where the company is not resident in India, the return may be signed and verified by a person who holds a valid power of attorney from such company to do so, which shall be attached to the return.' It is in this background that the validity of the assessee's Form 35A is to be considered." Thereafter, it records that the proceedings before the Dispute Resolution Panel are continuation proceedings and records the following in paragraph 2.2.2 : "2.2.2 In this respect, in the first place the Dispute Resolution Panel finds that the proceedings before it being only an extension of the proceedings before the Assessing Officer, the binding obligations with regard to signing of returns to be filed with the Assessing Officer are equally binding on the forms and papers filed before the Dispute Resolution Panel. Seen on this template, the unavoidable reasons for the authorisation in the case having been not articulated either in the assessee-company's board's res....
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....per book form in quadruplicate duly accompanied by (a) four copies of the draft order duly authenticated by the eligible assessee or his authorised representative : Provided that in the case of draft assessment under sub-section (3) of section 143 read with section 144A, the objections shall also be accompanied by four copies of the directions issued by the Joint Commissioner or Additional Commissioner under section 144A and in the case of draft assessment under sub-section (3) of section 143 read with section 147, the objections shall also be accompanied by four copies of the original assessment order, if any: Provided further that the panel may in its discretion either accept the objections which are not accompanied by all or any of the documents referred to above or reject it. (b) the evidence, if any, the eligible assessee intends to rely upon including any document or statement or paper submitted to the Assessing Officer : Provided that where the eligible assessee intends to rely upon any additional evidence other than those submitted to the Assessing Officer, such additional evidence shall not form part of the paper book but may be filed along with a separat....
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....ttached to the return ; (b) in the case of a Hindu undivided family, by the karta, and, where the karta is absent from India or is mentally incapacitated from attending to his affairs, by any other adult member of such family ; (c) in the case of a company, by the managing director thereof, or where for any unavoidable reason such managing director is not able to sign and verify the return, or where there is no managing director, by any director thereof : Provided that where the company is not resident in India, the return may be signed and verified by a person who holds a valid power of attorney from such company to do so, which shall be attached to the return : Provided further that, (a) where the company is being wound up, whether under the orders of a court or otherwise, or where any person has been appointed as the receiver of any assets of the company, the return shall be signed and verified by the liquidator referred to in sub-section (1) of section 178 ; (b) where the management of the company has been taken over by the Central Government or any State Government under any law, the return of the company shall be signed and verified by the principal officer....
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....On this count also the action of the Dispute Resolution Panel cannot be upheld and therefore, we are of the firm opinion that the order passed on July 4, 2011 by the Dispute Resolution Panel-II is to be set aside with a direction to consider objections afresh and give necessary direction to the Assessing Officer as per the provisions of the Act and the Rules thereon. For this purpose, the matter is restored to the file of the Dispute Resolution Panel for consideration of the objections filed with it, afresh. As the matter is restored to the Dispute Resolution Panel for considering objections on merit, we do not intend to decide the merits of the transfer pricing additions so proposed. With these directions, appeal in I. T. A. No. 7230/Mum/2011 is considered allowed for statistical purposes.' I. T. A. No. 5401/Mum/2012 As briefly stated above the Commissioner of Income-tax (Appeals) rejected the appeal preferred by the assessee by holding that the order was passed in pursuance of the order/directions of the hon'ble Dispute Resolution Panel. Even this order of the Commissioner of Income-tax (Appeals) is not factually correct. As discussed above in the above appeal, the Dispute Res....