Order set aside as ALP re-adjusted without passing of Draft Assessment Order u/s. 144C

PCIT Vs Alpha Elsec Defence and Aerospace Systems Pvt. Ltd. (Karnataka High Court) Karnataka High Court held that re-adjustment of ALP without passing a Draft Assessment Order as required under section 144C of the Income Tax Act is not tenable in law. Accordingly, order passed thereon is void ab initio. Facts- The assessee is a joint venture company promoted by M/s. Alpha Design Technologies Pvt Ltd., and M/s. ITL Optronics of Israel engaged in the business of manufacturing, assembling and testing of opto electronic equipment. During scrutiny assessment, TPO passed an order u/s. 92CA adjusting...