9911796707
TMI Blog2022 (11) TMI 768X X X X Extracts X X X X X X X X Extracts X X X X ..... together they are being disposed off by way of this consolidated order. 2. The common grounds raised read as under: 1. Whether on the facts and in the circumstances of the case and in law the Ld. CIT(A) was legally justified in holding that the additions made in the course of proceedings u/s. 153C of the Income Tax Act, 1961 were not warranted having regard to the judgment of this court in CIT Vs. Kabul Chawla (380) ITR 573. 2. Whether on the facts and the circumstances of the case and in law the Ld. CIT(A) was legally justified in not appreciating that Revenue has filed various SLPs against the decision of the jurisdictional High Court in CIT Vs. Kabul Chawla in Apex Court and the decisions are pending and hence, the issue has not at ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Reserve Bank of India and main business of the company is to invest and trade in shares, securities, debentures and allied financial instruments & activities. In view of the same the commission received on the securities towards sub broker ship of marketing of investments in share, securities and bonds etc. are within the preview of the business activities of the assessee company. These activities are incidental in the main business of investments in shares & securities. Since the commission were received on account of services rendered towards procurement of sales order & brokerage were received on account of services rendered towards sub-broker ship for marketing of investment in share, securities & bond etc. therefore the same may b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onsultancy charges amounting to Rs. 1,37,55,640/- is not his business income and accordingly, the same is taxed under the head "income from other sources." Penalty proceedings u/s. 271(1)(c) are initiated separately with respect to this addition." 5. Against the above order, the assessee appealed before the CIT(A). The Ld. CIT(A) has elaborately noted the submission of the assessee. It was also noted that the original return under Section 139 was filed on 31.10.2003 which was processed under Section 143(1) and assessment was completed under Section 143(3) on 20.12.2005. The Assessing Officer made the assessment under Section 153C r.w. Section 143(3) by only shifting the head of income from business income to income from other sources. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... seized material. Therefore, the Assessing Officer is directed to confine its assessment on the basis of already completed assessment. 6. Against above order, the Revenue has filed appeal before us. The Ld. Departmental Representative relied upon the orders of the Assessing Officer. We also noted that in the grounds of appeal, Revenue has not disputed the fact that the assessment is not based upon any incriminating material found during the search but the Revenue's grievance is that the Revenue has filed SLP against the decision of Hon'ble Jurisdictional High Court in the case of Kabul Chawla (supra). Per contra, the Ld. counsel for the assessee submitted that the issue here is fully covered by the following case laws. i) CIT vs. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ne by reference to any seized incriminating material. Accordingly in the background of the aforesaid discussion and precedents in our considered opinion there is no infirmity in the order of the Ld. CIT(A). Hence, we uphold the same. Before parting we may refer to the pleading of the Ld. counsel for the assessee that in the case of the assessee the MAT provisions were applicable and in that view of the matter the tax effect is below the limit of CBDT circular for filing appeal before the Tribunal. We note that since we have already adjudicated upon the issue by confirming the order of the Ld. CIT(A) we are not dealing with this aspect as it is only of academic interest. 9. The above order applies mutatis mutandis to both the appeals. 10. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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