TaxTMI 
TaxTMI 
TaxTMI 
2026 (4) TMI 273
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....t the Petitioner has sought relief in terms of prayer clause (a) of the Writ Petition which reads as under: "(a) that this Hon'ble Court may be pleased to issue a writ of mandamus or a writ in the nature of mandamus or any other appropriate writ, order or direction under Article 226 of the Constitution of India, ordering and directing the Respondent No. 1 to accept the income returned by the Petitioner for AY 2014-15." 4. The return of income filed by the Petitioner for AY 2014-15 was selected for scrutiny assessment and a final assessment order came to be passed on 29th October 2018 under Section 143(3) r.w.s. 144C(13) of the Act, making certain additions / disallowances to the income returned by the Petitioner. Thereafter, the Petitioner filed an appeal before the Tribunal. The Tribunal vide order dated 17th July 2020 held as under: (i) Arm's length price of Corporate Guarantee fee restricted to 0.5% till July 2013, as against 1.50% taken by the TPO for the entire financial year. (ii) Issue of "adjustment pertaining to interest on loan to AE" sent back to the TPO/ AO for fresh consideration, relying on the Tribunal order of the previous year in the c....
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....53(3) and 153(4) of the Act, the relevant portion of which is reproduced hereunder: "(3) Notwithstanding anything contained in sub-sections (1), (1A) and (2), an order of fresh assessment or fresh order under section 92CA, as the case may be, in pursuance of an order under ... section 254 ..., setting aside or cancelling an assessment, or an order under section 92CA, as the case may be, may be made at any time before the expiry of nine months from the end of the financial year in which the order under ... section 254 is received by the Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner or, as the case may be...: Provided that where the order under ... section 254 is received by the Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner or, as the case may be, ... on or after the 1st day of April, 2019, the provisions of this sub-section shall have effect, as if for the words "nine months", the words "twelve months" had been substituted. ... ... (4) Notwithstanding anything contained in sub-sections (1), (1A), (2), (3) and (3A), where a reference under sub-section (1) ....
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....ra accepts that no assessment order pursuant to the remand by the Tribunal has in fact been passed by Respondent No. 1 by 31st March 2023. However, he contends that the return of income filed by the Petitioner cannot be accepted as such. In this regard, he submitted that the Tribunal had restricted the transfer pricing adjustment on corporate guarantee to 0.50% till July as against 1.50% made by the TPO for the entire year. Therefore, there was final determination by the Tribunal on this issue. Further, the TPO had also passed the order giving effect to the directions of the Tribunal on this issue. Hence, the absence of order giving effect to the order of Tribunal by Respondent No. 1 would not have the effect of disturbing / nullifying the findings on this issue which have already attained finality, and which was also not the subject matter of remand by the Tribunal. The consequences of limitation would operate only in respect of the issues which were specifically remanded by the Tribunal for fresh examination. 17. It is thus an undisputed fact that Respondent No. 1 has not passed any assessment order pursuant to the order of the Tribunal by 31st March 2023, being the limitation....
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....rt in Plasticotes Investments (P.) Ltd. v. CCIT [2014] 52 taxmann.com 483 (Bombay). In this case, the CIT(A) had restored the assessment to the file of the AO for denovo adjudication. However, the AO did not comply with the directions for fresh assessment and in due course, the time to pass the assessment order had expired. In view of the failure of the AO to pass any assessment order, the assessee demanded refund of tax and interest paid by it. In light of these facts, this Hon'ble Court held as under: "7. The stand of the Assessing Officer that no refund could be granted as no assessment order on remand could be passed because copy of the order dated 14 January 1999 of the CIT(A) was not served upon him is not acceptable for the reason that the Assessing Officer could have himself called for a copy of the same from the office of the CIT(A). In any case a copy of the order dated 14 January 1999 was served upon the Assessing Officer with a copy of this petition some time in 2005 and since then no order of assessment has yet been passed by the Assessing Officer. Once CIT(A) has remanded the proceedings to the Assessing Officer for passing a fresh assessment order it is not ....