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TMI Blog2016 (12) TMI 1722X X X X Extracts X X X X X X X X Extracts X X X X ..... and the appeal by the assessee Sh. Rajiv Kumar, Mohali for the assessment year 2007-08 is directed against the order dated 16.12.2010 of the ld. CIT(A)-1, Ludhiana. 2. Since the issues involved are common in these appeals which were heard together so these are being disposed off by this consolidated order for the sake of convenience and brevity. 3. First we will deal with the appeal of the assessee Sh. Rajiv Kumar in ITA No. 41/Chd./2011 for the assessment year 2007-08. Following grounds have been raised in this appeal: "1. On the facts and in the circumstances of the case and in law, the Worthy CIT(A) in Appeal No. 41-IT/CIT(A)-I/Ldh/09-10 dated 16.12.2010 has erred in passing that order in contravention of the provisions of Section 25 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any addition, deletion or amendment in the grounds of appeal on or before the disposal of the same." 4. At the first instance, the ld. Ld. Counsel for the assessee argued Ground No. 4 vide which the grievance of the assessee relates to the jurisdiction of the AO in framing the assessment u/s 153A of the Income-tax Act, 1961 (hereinafter referred to as the Act). 5. The facts related to this issue in brief are that a search and seizure operation u/s 132(1) of the Act was conducted at the residence of the assessee by the Investigation Wing, Chandigarh on 10.08.2006 and the assessee was covered u/s 132 of the Act during this search and seizure action. The AO issued the notice u/s 153A of the Act. In response, the assessee filed the return of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the provision of the said section for the 6 assessment years preceding to the search and as the search took place in the previous year relevant to the assessment year under consideration. Therefore, for this year, the assessment could have been framed either u/s 143(3) or Section 144 of the Act as the case may be, but not u/s 153A of the Act. The reliance was placed on the following case laws: Upendra Kumar Sharma v. DCIT [IT Appeal Nos. 3137 to 3143 (Delhi) 2009 dated 12.04.2010] CIT v. Hazari Lal [2009] 180 Taxman 37/310 ITR 24 (Punj. & Har.). 9. In his rival submissions the ld. DR strongly supported the orders of the authorities below and further submitted that the search took place in this case on 10.08.2006, therefore, the assessmen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r relevant to the previous year containing the search period was valid or not. In this regard, it is relevant to discuss the provisions contained in Section 153A of the Act, which read as under: "153A (1) Notwithstanding anything contained in section 139, section 147, section 148, section 149, section 151 and section 153, in the case of a person where a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A after the 31st day of May, 2003, the Assessing Officer shall- (a) issue notice to such person requiring him to furnish within such period, as may be specified in the notice, the return of income in respect of each assessment year falling within six assessment years ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed or any order of assessment or reassessment made under sub-section (1) has been annulled in appeal or any other legal proceeding, then, notwithstanding anything contained in sub-section (1) or section 153, the assessment or reassessment relating to any assessment year which has abated under the second proviso to sub-section (1), shall stand revived with effect from the date of receipt of the order of such annulment by the Commissioner: Provided that such revival shall cease to have effect, if such order of annulment is set aside. Explanation.-For the removal of doubts, it is hereby declared that,- (i) save as otherwise provided in this section, section 153B and section 153C, all other provisions of this Act shall apply to the assessmen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment year 2007-08. As the assessment for the assessment year under consideration was framed by the AO u/s 153A of the Act, therefore, this assessment was not valid in the eyes of law and void ab initio. Thus, the same is quashed. Since, we have quashed the assessment order under consideration, considering the same as invalid, therefore, no findings are given on the other grounds raised by the assessee. 12. In Cross Objection No. 13/Chd./2011 pertaining to M/s Karan Empire Pvt. Ltd. and in ITA No. 1327/Chd./2010 filed by the assessee Sh. S. L. Arora for the assessment year 2007-08, an identical issue as was involved in the case of Sh. Rajiv Kumar, Mohali (supra) has been raised. Therefore, our findings given in the former part of this order ..... X X X X Extracts X X X X X X X X Extracts X X X X
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