Section 144C(3) r.w.s. 144C(4) Mandate AO to Conclude Assessment within One Month if Assessee Accepts Draft Order or Fails to File Objection

Dilipkumar Jashbai Patel Vs ACIT (ITAT Ahmedabad)

Section 144C(3) r.w.s. 144C(4) Mandate AO to Conclude Assessment within One Month if Assessee Accepts Draft Order or Fails to File Objection

The case of Dilipkumar Jashbai Patel vs. ACIT (ITAT Ahmedabad) involves an appeal by the assessee against the order of the ACIT, Vadodara dated March 23, 2022, pertaining to the assessment year 2018-19. The appeal is based on various grounds, and one of the primary contentions raised by the assessee is that the assessment order passed under section 143(3) read with section 144C of the Income Tax Act, 1961, is invalid due to being beyond the prescribed time limit.

Here is a summary of the key points from the case:

Background:

• The assessee, an individual and non-resident, sold an ancestral immovable property during the relevant assessment year.
• The assessee claimed the cost of acquisition as of April 1, 2001, based on a valuation report, resulting in a claimed long-term capital loss.
• The Assessing Officer (AO) referred the valuation of the property to the Government valuation officer under section 55A of the Act, who valued the property differently, leading to the AO proposing an addition to the total income of the assessee.

Objections and Dispute Resolution Panel (DRP):