ITAT Quashes Assessment Order by TPO u/s 92CA of Income Tax Act Against Johnson & Johnson Pvt Ltd due to Barred by Limitation [Read Order]
![ITAT Quashes Assessment Order by TPO u/s 92CA of Income Tax Act Against Johnson & Johnson Pvt Ltd due to Barred by Limitation [Read Order]](https://www.taxscan.in/wp-content/uploads/2023/07/ITAT-Quashes-Assessment-Order-by-TPO-Income-Tax-Act-Against-Johnson-Johnson-Pvt-Ltd-due-to-Barred-by-Limitation-TAXSCAN.jpg "ITAT Quashes Assessment Order by TPO u/s 92CA of Income Tax Act Against Johnson & Johnson Pvt Ltd due to Barred by Limitation [Read Order]")
The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) quashed the assessment order passed by the Transfer Pricing Officer (TPO) under section 92CA of the Income Tax Act,1961 on the ground of barred by limitation. Johnson & Johnson Private Ltd, the appellant assessee was a private company engaged in the business of manufacturing and marketing of various consumer...
The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) quashed the assessment order passed by the Transfer Pricing Officer (TPO) under section 92CA of the Income Tax Act,1961 on the ground of barred by limitation.
Johnson & Johnson Private Ltd, the appellant assessee was a private company engaged in the business of manufacturing and marketing of various consumer care, healthcare, and diagnostic products and has five different divisions in India.
The assessee appealed against the assessment order passed by the transfer pricing officer passed by late and challenged the validity of the order.
M.P. Lohia, the counsel for the assessee contended that the transfer pricing assessment order under Section 93CA (3) of the Income Tax Act was barred by limitation, thereby rendering the transfer pricing order null and void as per the provisions of Section 92CA (3A) of the Income Tax Act read with Section 153 of the Income Tax Act.
It was further submitted that orders passed under Section 92CA (3) of the Income Tax Act were late by 1 day and therefore were not passed within the due time.
Veranda U. Matkari, the counsel for the revenue relied on the decisions made by the lower authorities and contended that the order passed by the transfer pricing officer was as per the law and sustainable.
The bench observed that the claim of the assessee that as the order of the Transfer Pricing Officer was invalid, the assessee cannot be said to be an 'eligible assessee' in terms of explanation to section 144C of the Income Tax Act.
The two-member bench comprising Prashant Maharishi (Accountant) and Kavitha Rajagopal (Judicial) quashed the order passed by the transfer pricing officer due to barred by limitation while allowing the appeal filed by the assessee.
To Read the full text of the Order CLICK HERE
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