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TMI Blog2022 (3) TMI 1195X X X X Extracts X X X X X X X X Extracts X X X X ..... umstances of the case and in law, the learned PCIT ought not have cancel the order passed U/s. 143(3) r.w.s. 153A(1)(b) of the Act dated 28.03.2014 and ought not have issued direction for making fresh assessment. 3. It is therefore prayed that the order passed U/s. 263 of the Act may be cancelled. 4. Your appellant craves to add, alter or amend any ground of appeal at the time of hearing." 4. The brief facts of the case are that for the captioned year the original assessment in the case of the assessee was finalized u/s. 143(3) of the Act on 10-12-2009 on a total income of Rs. 5,08,546/-. The assessee is a part of the "Friends Group" in which a search operation u/s. 132 of the Act was carried out by the Department on 15-06-2011. Notice u/s. 153A of the Act was issued to the assessee on 02-01-2013. In response to the same, the assessee had filed the return of income on 29-06-2013 declaring total income of Rs. 5,08,546/-. The assessment u/s. 143(3) r.w.s. 153(1)(b) of the Act was completed on 28-03-2014 by determining total income of Rs. 5,08,546/- as declared by the assessee in the return of income. 4.1 On examining the record, the ld. Pr. CIT noticed that the assessee had deb ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Delhi High Court in the case of Kabul Chabla (2015) 93 CCH 210 Delhi High Court wherein Delhi High Court held that completed assessment can be interfered by the Assessing Officer while making assessment u/s. 153A only on the basis of some incriminating material unearthed during the course of search or requisition of documents or undisclosed income or property discovered in the course of search which ware not produced or not already disclosed or made in the course of original assessment. The assessee also placed reliance on the ITAT, Ahmedabad Bench decision in the case of Saumya Construction Pvt. Ltd. in ITA No. 03/Ahd/2014 wherein the addition was deleted on the ground that the said addition was not on the basis of any incriminating document found during search operations on the assessee. Without prejudice to the above, the assessee submitted before Pr. CIT that even on the merits of the case, the view taken by the Assessing Officer for allowing foreign exchange rate difference of Rs. 2,97,796/- and also the interest expenses of 55,22,432/- in the profit and loss account was a legally sustainable view and could not be disturbed in proceedings u/s. 263 of the Act. The Pr. CIT h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ower to justify findings on completed assessment. 4.5 The ld. Departmental Representative placed reliance on the observations of Pr. CIT. 5. We have heard the rival contentions and perused the material on record. The Gujarat High Court in the of PCIT v. Rameshbhai Jivraj Desai[2020] 121 taxmann.com 333 (Gujarat) held that where no incriminating material in respect of an earlier assessment year for which assessment had already attained finality was unearthed during course of proceedings under section 153A, Assessing Officer while completing assessment under said section could not disturb completed assessment of assessee in respect of such earlier assessment year. The Bombay High Court in the case of CIT v. Continental Warehousing Corporation (Nhava Sheva) Ltd [2015] 58 taxmann.com 78 (Bombay) held that no addition can be made in respect of assessments which have become final if no incriminating material is found during search. The Kolkata Tribunal in case of Majestic Commercial (P.) Ltd [2020] 116 taxmann.com 412 (Kolkata - Trib.) held that in case of unabated assessment of an assessee, no addition is permissible in order under section 153A unless it is based on any incriminating ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d U/s. 143(3) r.w.s. 153A(1)(b) of the Act dated 28.03.2014 and in directing to make a fresh assessment. 2. On the facts and in the circumstances of the case and in law, the learned PCIT ought not have cancel the order passed U/s. 143(3) r.w.s. 153 A (1)(b) of the Act dated 28.03.2014 and ought not have issued direction for making fresh assessment. 3. It is therefore prayed that the order passed U/s. 263 of the Act may be cancelled. 4. Your appellant craves to add, alter or amend any ground of appeal at the time of hearing." 8. The brief facts of this case are almost identical to facts for immediately preceding year i.e. A.Y. 2007-08. Briefly stated, the facts of the case are that for the captioned year i.e. A.Y. 2008-09, the original assessment in the case of assessee was finalized u/s. 143(3) of the Act on 13-03-2010 at a total income of Rs. 2,52,680/-. The assessee is a part of "Friends Group". Search operation u/s. 132 of the Act was carried out by the Department on 15-03-2011. Notice u/s. 153A of the Act was issued to the assessee on 02-01-2013. In response to the same, the assessee filed return of income on 29-06-2013 declaring total income of Rs. 2,52,681. The assessm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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