Reference to transfer pricing officer

With the prior approval of the Principal Commissioner or Commissioner, the Assessing Officer may refer the computation of the arm's length price in relation to the said international transaction or specified domestic transaction under section 92C to the Transfer Pricing Officer in cases where any person, being the assessee, entered into an international transaction or a specified domestic transaction in any prior year and the Assessing Officer considers it necessary or expedient to do so. When a reference is made in accordance with any sub-section, the Transfer Pricing Authority shall serve a notice on the assessee requiring him to produce or cause to be created, on a date to be specified within it, any evidence on which the tax payer may rely in support of the calculation he made of the arm's length price in relation to the international shipment or specified residential transaction referred to in a sub-section.

Info on 80g of income tax act.

The provisions of this Chapter shall apply as if any other international transaction—other than an international transaction referred to under a subsection—that comes to the Transfer Pricing Officer's attention during the course of the proceedings before he is an international transaction referred to him under that subsection. The provisions of this Chapter shall apply as if the tax payer had referred the import permit to the transfer pricing officer pursuant to section 92E when the transfer pricing officer learns of the international transaction while conducting the proceeding before him and the assessee has not submitted the report required by section 92E with respect to the international transaction. Nothing in this sub-section gives the Assessing Officer the authority to assess or reassess under Section 147, to pass an order raising the assessment, lowering an already granted refund, or otherwise increasing the assessee's liability under Section 154 for any assessment year for which the proceedings were completed prior to July 1, 2012. Can you see the matter on section 12a?

An order may be made at any time sixty days before the date on which the period of limitation referred to in Section 153, or as the case may be, in Section 153B, for making the order of assessment or reassessment, begins if a reference was made under First Subsection before the 1st day of June 2007 but the order under Third Subsection has not been made by the Transfer Pricing Officer before the said date, or if a reference is made on or after the 1st day. The Transfer Pricing Officer may change any order he has issued under the previous subparagraph in order to correct any error that is obvious from the record, and the requirements of section 154 shall, to the extent applicable, apply in accordance with the amendment.

The Assessing Officer will then proceed to revise the order of assessment in accordance with the Transfer Pricing Officer's order where any adjustment is made by the Transfer Pricing Officer according to a subparagraph.

Here is the article section 80g of income tax act.