NETENRICH TECHNOLOGIES PRIVATE LIMITED,HYDERABAD vs. DCIT., CIRCLE - 5(1), HYDERABAD

Pursuant to the directions issued on 3/4/2024 by the Learned Dispute Resolution Panel (DRP) under section 144C (5) of the Income Tax Act, 1961 (for short “the Act”), learned Assessing Officer passed the final assessment order under section 144C(13) of the Act on 31/5/2024, which the assessee is challenging in this appeal on the ground that such final assessment order is barred by limitation. Assessee is placing reliance on the decision reported in louis Dreyfus Company India (P.) Ltd vs. DCIT (2024) 159 Taxmann.com 244 (Delhi), PCIT vs. Fiber Home India (P.) Ltd (2024) 159 Taxmann.com 772 (Delhi) which were followed by the Tribunal in subsequent cases. 3. Learned DR does not contradict the facts borne on record and there is no dispute that the directions issued by the learned DRP on 3/4/2024 were uploaded to the ITBA portal on 3/4/2024 itself. It is also not in dispute that the impugned final assessment order under section 144 C (13) of the Act was passed on 31/5/2024. 4. In the case of Louis Dreyfus company India (P.) Ltd (supra) Hon’ble Delhi High Court held that the uploading of directive of learned DRP on ITBA portal would constitute valid and sufficient service and period of limitation as prescribed in section 144C(13) of the Act would be liable to be computed bearing that crucial date in mind. It is further held by the Hon’ble Delhi High Court that the final assessment order that was passed by the learned Assessing Officer beyond the period of one month from the end of the month in which the directions of the Learned Dispute Resolution Panel (DRP) were received is liable to be set-aside as being barred by time. When we apply the law laid down in the above decisions to the undisputed facts in this matter, we find no option but to hold that the impugned assessment order is barred by time. We, therefore, respectfully following the consistent view taken by the Hon’ble Delhi High Court in the above cases hold that the impugned assessment order in this matter is barred by limitation and is liable to be quashed.

In the result, appeal of the assessee is allowed. Order pronounced in the open court on this the 2nd January, 2025. (MANJUNATHA G.) JUDICIAL MEMBER Hyderabad, Dated: 02/01/2025 L.Rama, SPS