TaxTMI 
TaxTMI 
2024 (2) TMI 1338
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....passed by the Transfer Pricing Officer u/s 92AC["the TPO"]/Draft Assessment Order passed by the Assessing Officer ["the AO"] u/s 144C dated 25/11/2019, the order passed by the Dispute Resolution Panel, New Delhi-1 ["DRP-1"] dated 27/02/2020 and the order passed by the National e-Assessment Center [NeAC] dated 30/03/2021, to the extent prejudicial to the interest of the appellant, are bad in law and deserve to be quashed to that extent. 2. That the grounds of appeal hereto are without prejudice to each other. 3. That on the facts and in the circumstances of the case and in law, the Assessing Officer/ NeAC vide his order dated 30/03/2021 has assessed the income of the appellant at a loss of Rs 4,91,40,907/- against the retur....
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....1 amounting to total Rs 19,93,460/- under section 36(1)(va) and treating the same income of the assessee under section 2 (24)(x) of the Income Tax Act, 1961, without considering that the provisions of section 43B are applicable to such payment as the payment has been deposited before filing of Income Tax Return as per section 139(1) of the Act. 5.2 The Assessing Officer erred in disallowing the payment of Provident Fund and ESI without considering that out of the total amount of Rs 19.93,460/- A sum of Rs 11,22,959 was employer's contribution and Rs 8,70,501 was received from the employee's for their share of contribution. 6. The Assessing Officer erred in disallowing the expenditure incurred by the assessee amount....
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....raft Assessment Order u/s 144C(5), the assessee preferred to file objections before the Dispute Resolution Panel, New Delhi-1. The DRP-1 issued directions to the TPO/ AO vide order dated 27/02/2020 providing the complete relief to the assessee on the proposed addition made by the AO in Draft Assessment Order u/s 144C(5) of the Act. 5. The AO/ National e-Assessment Centre after the DRP's Order passed an order u/s 143(3) r.w.s 144C (5) and 144C (13) r.w.s. 143(3) (A) and 143(3) (B) of the Act on 30/03/2021. In this order, the AO/[NeAC] made following disallowances to the returned loss of the assessee and reduced the returned loss to Rs. 4,91,40,907 against the returned loss of Rs. 5,23,09,629. 6. The above timelines are summarized b....
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....d here "Reference to dispute resolution panel. 144C. (1) The Assessing Officer shall, notwithstanding anything to the contrary contained in this Act, in the first instance, forward a draft of the proposed order of assessment (hereafter in this section referred to as the draft order) to the eligible assessee if he proposes to make, on or after the 1st day of October, 2009, any variation which is prejudicial to the interest of such assessee. (2) On receipt of the draft order, the eligible assessee shall, within thirty days of the receipt by him of the draft order,- (a) File his acceptance of the variations to the Assessing Officer; or (b) File his objections, if any, to such variation with, - ....
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.... (f) Evidence collected by, or caused to be collected by, it; and (g) Result of any enquiry made by, or caused to be made by, it. (7) The Dispute Resolution Panel may, before issuing any directions referred to in sub-section (5), - (a) make such further enquiry, as it thinks fit; or (b) Cause any further enquiry to be made by any income-tax authority and report the result of the same to it. (8) The Dispute Resolution Panel may confirm, reduce or enhance the variations proposed in the draft order so, however, that it shall not set aside any proposed variation or issue any direction under sub-section (5) for further enquiry and passing of the assessment order." 10. Further, a careful exa....
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....tion to follow the procedure laid down in the scheme of section 144C which is as following: a. The AO/NeAC to forward a Draft Assessment Order to the eligible assessee containing all the variation proposed. b. On receipt of such an order, the assessee is either to accept the variations or file objection with the DRP. c. The AO/NeAC shall complete assessment on the basis of acceptance received from eligible assessee or no objection received within 30 days. d. The Dispute Resolution Panel, on receipt of objection, shall issue direction to the AO for completion of assessment. e. The DRP shall issue directions after considering the Draft Assessment Order and other relevant evidences, reports and obje....