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TMI Blog2019 (12) TMI 318X X X X Extracts X X X X X X X X Extracts X X X X ..... - also, the additions made by the Assessing Officer is not based on incriminating material found during the course of search albeit is based on the other record not related to material found during the search. In such a situation, the additions made are beyond the scope of proceedings u/s 153A. This preposition of the law has been well settled by the jurisdictional High Court in the case of COMMISSIONER OF INCOME TAX (CENTRAL) -III VERSUS KABUL CHAWLA [ 2015 (9) TMI 80 - DELHI HIGH COURT] where the Hon ble High Court clearly spelt that 153A additions have to be made only on the basis of the seized material. It was also held that completed assessments can be interfered with by the Assessing Officer while making assessment order u/s 153A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s in deleting the addition of ₹ 74,74,803/- on account of estimation of unaccounted profit. 3. The Ld. CIT(A) has erred in law and on the facts in deleting the addition of ₹ 29,07,267/- on account of disallowance of expenses. 4. The Ld. CIT(A) has erred in law and on the facts in deleting the addition of ₹ 14,61,443/- on account of unaccounted profit with different parties. 5. The Ld. CIT(A) has erred in law and on the facts in deleting the addition of ₹ 10,00,000/- on account of deemed dividend u/s 2(22)(e). 6. The Ld. CIT(A) has erred in law and on the facts in deleting the addition of ₹ 4,92,24,373/- on account of inflated purchases. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee has challenged the additions/disallowances on the ground that since the assessments for the years in question were completed assessments and in absence of any incriminating material having been found during search, additions in its case could not have been made by Assessing Officer. 4. The Ld. CIT(A) accepting the contention of the assessee deleted the addition holding as under: 12. As it is reflected from assessment orders, a search and seizure operation was conducted by the Investigation Wing of the Department in the cases of M/s AMQ Group and during the searches, the business premises of assessee at C-134, Ground Floor,, Defence Colony, New Delhi-110024 was also covered u/s 132(1) of I.T. Ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... other post-search material or information available with the Assessing Officer which can be related to the evidence found, it does not mean that the assessment can be arbitrary or made without any relevance or nexus with the seized material. As per Hon'ble Court, such assessment has to be made under the section only on the basis of the seized material. It is further opined by Hon'ble Court that completed assessment can be interfered with by the Assessing Officer while making the assessment in the section 153A only on the basis of some incriminating material found during the course of search or requisition of documents or undisclosed income or property discovered in the course of search which were not produced or not already disclos ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e income disclosed in the returns filed by appellant. In such situation, the additions/disallowances made by Assessing Officer, as mentioned above, for AYs 2008-09 to 2012-13, are not sustainable and liable to be deleted. I, therefore, delete the additions made by the A for the aforesaid five assessment years and allow the grounds taken by the appellant. 5. During the arguments before us, the Ld. AR, Ms. Nidhi Srivastava, vehemently argued that provisions of sec. 153A of the Act do not stipulate any restrictions on the powers of the Assessing Officer to complete the assessment based on all the materials available before them. Against the arguments of the Ld. DR, Shri Hiren Mehta argued that in view of the judgments of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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