TaxTMI 
TaxTMI 
2025 (5) TMI 622
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....ploading of the order of the DRP in the Departments portal/Website? 2. Whether on the facts and in the circumstances of the case, the Tribunal was right in not appreciating that the DRP order was only received by the Assessing Officer on 03.02.2022 as per the case history data and the completion of the proceedings by the AO on 22.03.2022 is within the time limit stipulated under Section 144C(13)? 4. A return of income was filed by the assessee in terms of the relevant provisions of the Income tax Act 1961 (Act), in time. The Assessing Officer made a reference to the Transfer Pricing Officer (TPO) and subsequent to the receipt of the TPO's report, an order of draft assessment came to be passed on 26.04.2021 making five additions. 5. As against the same, the assessee had filed objections before the Dispute Resolution Panel (DRP) on 27.05.2021. The Dispute Resolution Panel (DRP) had heard the matter in detail and had issued directions on 24.01.2022. The directions culminated in an order of final assessment dated 22.03.2022. 6. The question that arises for consideration is as to whether the date of receipt of the directions of the DRP by the Assessing Officer is '31.0....
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....Your office letter in F.No. D Bench/IT(TP)A 39/CHNY/2023, dated 10.08.2023. ***** Please refer to the above. 1. It is humbly submitted that in the case of M/s The Ramco Cements Ltd (PAN: AABCM8375L) for AY 2017-18, the DRP directions were uploaded to ITBA portal on 31.01.2022 (ITBA screenshot enclosed). 2. Further, on the same day i.e 31.01.2022, the directions were also uploaded through common functionality in ITBA for NeFAC, Delhi. 3. Regarding successful delivery of directions to AO (in this case AO, NeFAC), it is brought to your goodself's knowledge that there is no functionality in ITBA through which this office can track the delivery of the directions uploaded through common functions module for NeFAC, Delhi. Yours faithfully Sd/- (S. P. Pream Kamel) Assistant Commissioner of Income tax (HQ) & Secretary Dispute Resolution Panel-2, Bengaluru.' 11. The Tribunal thus concludes that since the DRP's directions were 'uploaded through common functionality in ITBA for NeFAC, Delhi' on 31.1.2022 itself that would be taken to be the date of service of the order/date of receipt of the directions by the FAO and limitation a....
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....n Taeyang Metal India Private Limited (supra). 8. List on 05.12.2024. 13. Time was sought and granted on subsequent occasions to enable the concerned authorities to file affidavits clarifying the stand of the Department in regard to the date that should be reckoned for the commencement of limitation under Section 144C(13) of the Act. 14. Affidavit dated 04.12.2024 was filed by the Assessing Officer, which prompted us to pass the following order at the hearing on 05.12.2024: An affidavit has been filed by the Assessing Officer pursuant to our order dated 25.11.2024. There appears to be a change in the stand of the Department in so far as before the Tribunal, the stand was that the assessment order was sent by ITBA in electronic mode on 31.01.2022 (which we understand to mean uploaded in the ITBA on 31.01.2022). However, the Assessing Officer, at paragraph No.5 of the affidavit, says that the assessment order was uploaded by CIT (DRP-2), Bengaluru through functionality in ITBA on 03.02.2022 only. 2. A final opportunity is granted to the concerned Head of Information Technology Unit/Systems to file an affidavit along the lines required under order date....
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....n the directions of the DRP are received by the Assessing Officer. In affidavit dated 04.12.2024, the Assessing Officer states that he had received the assessment order only on 03.02.2022. He makes this clear from paragraph 5 of the affidavit, stating thus: '5.In this regard, I respectfully submit the following facts as under: It is clear from the 'Case History/Notings' that the date of receipt of Dispute Resolution Panel's (Shortly as DRP) directions by the AO-Assessment Unit is on 03.02.2022 and no other date can be considered as the date of receipt, because it was the date on which the order was uploaded by CIT(DRP-2), Bengaluru through functionality in ITBA. The same has been viewed by Assessment Unit, NFAC on 03.02.2022. It is evidenced by Serial No.76 of Case History/Notings in Income Tax Business Application (ITBA). No other order has been uploaded by CIT(DRP-2), Bengaluru prior to 03.02.2022. The same also can be verified in Case History/Notings in ITBA. I respectfully submitted that, according to section 144C(13) of Income-tax Act, "the assessment is to be completed within one month from the end of the month in which the DRP issue....
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.... Where, however, the DRP user initiates DRP proceedings by using the option of manually entering the details of the case in the screen, the DRP Order passed does not reflect automatically inside the case history noting of pending Assessment Proceedings work-item of the AO (whether Jurisdictional Assessing Officer of Faceless Assessing Officer - JAO/FAO). In the present case, as per inputs of the technical team, the DRP created the pendency by manually entering the details of the 144C order in the screen. The DRP Order u/s 144C (5) dated 24.01.2022 was uploaded by the DRP user in ITBA on 31-01-2022 with DIN : ITBA/DRP/M/144C(5)/2021-22/103924174(1). Further, since the DRP had created the DRP proceedings by manually entering the details of the case (and not by creating linkage with the assessment proceedings), the DRP order, when uploaded on 31.01.2022 in the DRP module, did not get automatically reflected in the Case History/Noting of the assessment proceedings. 2) Uploading of the DRP order using the functionality of DIN/PAN-AY: There is functionality available in ITBA("Uploading of document based on DIN/PAN-AY"). Documents uploaded by any ITBA user, us....
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....ion has been availed by the DRP user and hence though the order was uploaded by the DRP user in the ITBA on 31.01.2022 itself, such uploading was not noticed by the Assessing Officer. However, as far the Assessing Officer is concerned, an Advisory issued by the ITBA team on 'Visibility of orders passed by DRPs to other ITBA users, is relevant. The Advisory reads thus: Visibility of orders passed by DRPs to other ITBA users Kind Attn. All ITBA Users Sub: Visibility of orders passed by DRPs to other ITBA users - Reg. This is to inform that on passing order by the DRP in ITBA(DRP Module) [either through online system mode or through Manual to system mode], the DRP Directions/Order would be reflected automatically in the pending assessment work-item either with FAO or JAO - provided that at the time of initiating DRP proceedings, in ITBA DRP Module, DRP users had selected the Draft order u/s 144C in the system itself, rather than entering the details on the ITBA screen on its own. If, at the time of initiating DRP proceedings, the DRP user had not selected the Draft Order u/s 144C in the system, and had rather entered the details manually on the ....
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....ith statutory limitation, has been given full and complete access to all inputs required for completion of the assessment including the directions of the DRP immediately on their uploading into the ITBA portal by the DRP. 31. Clearly, limitation cannot be dependent on varying user functionalities which are nothing but internal processes. If this argument were to be accepted, the commencement of limitation would vary depending on the option exercised by the user which would defeat the purpose of statutory limitation apart from being an acceptable proposition. 32. The starting point of limitation has thus to be reckoned from the earliest instance when the directions of the DRP would be visible to the officer and cannot be taken to fluctuate from one methodology to another depending on the option exercised by the user. 33. Mr. Narayanasamy has circulated a screen shot of the 360 degree view, that presents as follows: Since the fields in the above image are not clear, the screen shot as provided by the Department is inserted at this point as page 18. 34. Our understanding of the 360 degree view page is that on entering the details of the assessee including the PAN number....