Siemens Limited Vs DCIT (Bombay High Court)
The Bombay High Court examined the validity of a rectification order purportedly passed under Section 154 of the Income-tax Act, 1961 for Assessment Year 2005–06. The core challenge was to an order dated 29 March 2024 which did not bear a Document Identification Number (DIN) and to a subsequent intimation letter dated 10 July 2024 that sought to assign a DIN to that order. The petitioner contended that the order was invalid for non-compliance with CBDT Circular No. 19/2019, which mandates that every notice, order, or communication issued by the Income-tax Department after 1 October 2019 must carry a computer-generated DIN, failing which it is deemed invalid and never issued.
The factual background showed a long chain of proceedings involving transfer pricing adjustments, rectifications, appellate orders, and consequential orders giving effect to relief granted by appellate authorities. After the appellate process had substantially concluded and transfer pricing adjustments had been deleted, the Transfer Pricing Officer issued a fresh rectification notice in March 2024 proposing to withdraw relief earlier granted. This was followed by a rectification order dated 27 March 2024 at the TPO level. Thereafter, the Assessing Officer initiated rectification proceedings by issuing a show cause notice dated 20 June 2024 to rectify his earlier order dated 16 March 2020.
