Question 1

What are the key legal issues in Headstrong Services India Pvt. Ltd. vs. ACIT?

Accepted Answer

1. Whether the Final Assessment Order passed under section 143(3) read with section 144C(13) of the Income Tax Act, 1961, dated 31/07/2022 is time-barred by limitation under section 153(1) read with section 153(4) of the Act.

Question 2

What are the facts of Headstrong Services India Pvt. Ltd. vs. ACIT?

Accepted Answer

The captioned appeal is filed by the Assessee, Headstrong Services India Pvt. Ltd., challenging the Final Assessment Order passed under section 143(3) read with section 144C(13) of the Income Tax Act, 1961, dated 31/07/2022 pertaining to the Assessment Year 2018-19. The Assessee raised Ground No. 1 contending that the Final Assessment order is time-barred by limitation and is bad in law, as it has been passed beyond the time frame prescribed under section 153(1) read with section 153(4) of the Income Tax Act, 1961. The Assessee relied on the ratio laid down by the Hon'ble High Court of Madras in the case of Commissioner of Income-tax Vs. Roca Bathroom Products (P.) Ltd. [2022] 445 537 (Madras) and orders passed by the Co-ordinate Bench of the Tribunal, Hyderabad Bench. Per contra, the Department's Representative submitted that the issue of limitation arising from the interplay between Section 144C and Section 153 of the Act is presently unsettled and pending adjudication before the Hon'ble Supreme Court in the case of ACIT Vs. Shelf Drilling Ron Tappmeyer Ltd. in Special Leave to Appeal (C) Nos. 20569-20572/2023, therefore, deciding the very same issue by this Tribunal at this stage would be premature.

Headstrong Services India Pvt. Ltd. vs. ACIT

Parties Involved

Facts Summary

Legal Issues

Judgment Outcome

Precedents Relied Upon

Similar Judgements