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TMI Blog2021 (8) TMI 76X X X X Extracts X X X X X X X X Extracts X X X X ..... cases have been completed by the A.O. u/s 143(3) r.w.s. 153C of the Act. The revenue carried out search and seizure operation u/s 132 of the Act in the case of "Shri B. Nagendra". In connection therewith, the premises of M/s. Arshad Ispat& M/s. Arshad Exports and residence of Mr. K. Asghar Khan were also searched on 25.10.2010, i.e., the premises of the assessees before us were subjected to search as part of search and seizure operations conducted in the hands of Shri B Nagendra. Subsequently, all the cases were centralized with Deputy Commissioner of Income-tax, Central Circle -2(3), Bengaluru. Hence the assessing officer of the "searched person" and "other persons, being the assessees herein" came to be one and same person. 3. Subsequently, the A.O. issued notices under section 153C of the Act to the assessees herein for the years mentioned in the caption. Thereafter, the A.O. completed the assessment in the hands of above said assessees for the years under consideration u/s 143(3) r.w.s. 153C of the Act. It is the contention of the assessees herein that the initiation of proceedings u/s 153C of the Act is not valid and hence the impugned assessments should be quashed. 4. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... income has been furnished by such other person and no notice under sub-section (1) of section 142 has been issued to him, or (b) a return of income has been furnished by such other person but no notice under sub-section (2) of section 143 has been served and limitation of serving the notice under sub-section (2) of section 143 has expired, or (c) assessment or reassessment, if any, has been made, before the date of receiving the books of account or documents or assets seized or requisitioned by the Assessing Officer having jurisdiction over such other person, such Assessing Officer shall issue the notice and assess or reassess total income of such other person of such assessment year in the manner provided in section 153A.". 5. The above said provisions were interpreted by Hon'ble Supreme Court in the case of M/s Super Malls Private Limited Vs. Principal Commissioner of Income tax (423 ITR 281)(SC). The relevant observations are extracted below:- "5. We have heard the learned counsel for the respective parties at length. 5.1 As observed hereinabove, the short question which is posed for the consideration of this Court is, whether there is a compliance of the provisions ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ncap (supra), the same is for the administrative convenience and the failure by the Assessing Officer of the searched person, after preparing and dispatching the satisfaction note and the documents to the Assessing Officer of the other person, to make a note in the file of a searched person, will not vitiate the entire proceedings under Section 153C of the Act against the other person.At the same time, the satisfaction note by the Assessing Officer of the searched person that the documents etc. so seized during the search and seizure from the searched person belonged to the other person and transmitting such material to the Assessing Officer of the other person is mandatory. However, in the case where the Assessing Officer of the searched person and the other person is the same, it is sufficient by the Assessing Officer to note in the satisfaction note that the documents seized from the searched person belonged to the other person. Once the note says so, then the requirement of Section 153C of the Act is fulfilled. In case, where the Assessing Officer of the searched person and the other person is the same, there can be one satisfaction note prepared by the Assessing Officer, as he ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... all, Karnal also beside other concerns. These documents are required for assessment proceedings. During the statement of Sh. Ved Parkash Bharti at the time of search, he has also stated that these documents pertain to him and M/s Super Mall (P) Ltd., Karnal in which he is Director. In view of the above and as per the provisions of sub-section 91 of Section 153C of the Act, I am satisfied that the document seized from the residence of Sh. Ved Parkash Bharti belongs to a person i.e. Super Mall (P) Ltd., other than the person referred in section 153A. Accordingly, it is directed to issue such person (M/s Super Mall (P) Ltd.) notice and assess and reassess income in accordance with the provision of section 153A of the Act. Dated: 22.02.2013 &n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... atisfaction and upon examination of such other documents relating to such other person, the jurisdictional Assessing officer may proceed to issue notice for the purpose of completion of the assessment under Section 158BD of the Act and other provisions of Chapter XIV-B shall apply. (d) Failure of the AO of the searched person, after preparing and dispatching the satisfaction note and the documents to the AO of the other person, to make note in the file of searched person, will not vitiate the entire proceedings under section 153C of the Act against the other person. (e) At the same time, the satisfaction note by the AO of the searched person that the documents etc., so seized during the search and seizure from the searched person to the other person and transmitting such material to the AO of the other person is mandatory. (f) However, in the case where the AO of the searched person and the other person is the same, it is sufficient by the AO to note in the satisfaction note that the documents seized from the searched person belonged to the other person. Once the note say so, then the requirement of Section 153C of the Act is fulfilled. In case, where the AO of the searched p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2008-09 as envisaged u/s 153C issued." (b) A.Y. 2010-11: (b) "A search action u/s 132 was initiated in the case of Sri B. Nagendra and in connection with the same, the premises of Sri Asgar Khan, Near College Road, Hospet was also searched and documents/assets were seized as per inventory - A annexed to the panchanama dated 25.10.2010 for the search conducted in the premises of Sri Asgar Khan, Near College Ground, College Road, Hospet. Hence, a notice calling for the returns of income for the asst. year 2010-11 as envisaged u/s 153C issued." (C) M/s. Arshad Exports (a) A.Y. 2009-10 (a) "A search action u/s 132 was initiated in the case of Sri B. Nagendra and in connection with the same, the premises of M/s. Arshad Exports, Khan Building, 3rd Cross, Vijay Nagar College Road, Hospet was also searched and documents/assets were seized as per inventory - A annexed to the panchanama dated 25.10.2010 and A-1/A1 annexed to the Panchanama dated 2.11.2011 for the search conducted in the premises of M/s. Arshad Exports, Khan Building, 3rd Cross, Vijay Nagar College Road, Hospet. This case is centralized to this office vide CIT Gulbarga Order F.No.90/Notification/CIT-GLB/2010-11 dat ..... X X X X Extracts X X X X X X X X Extracts X X X X
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