Case Law Details
Boeing India Pvt. Ltd. Vs ACIT (ITAT Delhi)
ITAT Delhi held that passing of an order in the name of an entity which has merged with another entity will make the order void ab initio. Accordingly, the impugned assessment order passed in the name of a non-existent entity is void ab initio and hence liable to be quashed.
Facts- The assessee earlier known as Boeing International Corporation India Ltd. is a resident corporate entity. For the assessment year under dispute, the assessee filed its return of income u/s. 139(1) of the Act on 29.11.2016 declaring income of Rs.60,55,17,000.
Subsequent to filing of return of income, Boeing International Corporation India Ltd. got merged with Boeing India Pvt. Ltd. as per the scheme of merger dated 27.02.2018 from the appointed date of Ist April 2017. The amalgamation of Boeing International Corporation India Ltd. with Boeing India Pvt. Ltd. was duly brought to the notice of AO vide letter dated 10.04.2018 with supporting evidences. Vide order dated 31.10.2019, the TPO suggested adjustment of Rs.2,03,05,826 and accordingly sought enhancement of income to that extent. In terms with the order of the TPO, AO framed the draft assessment order on 21.12.2019.
Against the draft assessment order, the assessee raised objections before learned DRP. However, learned DRP sustained the adjustment proposed by the TPO. In terms with the directions of learned DRP, AO passed the final assessment order, which is under challenge in the present appeal.
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