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TMI Blog2022 (7) TMI 1552X X X X Extracts X X X X X X X X Extracts X X X X ..... hash Khattar [ 2017 (7) TMI 1091 - DELHI HIGH COURT] Hence, keeping in view, the entire factum of the case, we hold that the addition made vide the assessment u/s 153A in the absence of any incriminating material is not sustainable - Decided against revenue. - Sh. Saktijit Dey, Judicial Member and Dr. B. R. R. Kumar, Accountant Member For the Assessee : Sh. Amit Goel, Adv. Sh. Nipun Mittal, CA For the Revenue : Sh. T. Kipgen, CIT DR ORDER Per Dr. B. R. R. Kumar, Accountant Member: The present appeals have been filed by the Revenue against the orders of ld. CIT(A)-24, New Delhi dated 22.06.2020. 2. Since, the issues involved in both the appeals are identical, they were heard together and being adjudicated by a common order. 3. The pertinen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is comprehensive with regard to the material which has been seized and which has been on record hitherto. The ld. DR has tendered his arguments in the form of written submission which are as under: 1. The decision of the CIT(A) that no addition can be made without reference to any seized material in the concluded proceedings, when the proceedings were concluded in not acceptable. It is settled position of law that when the language of the Act is clear and unambiguous then literal interpretation has to be followed. The language of section 153A(1)(b) of the Act is very clear, wherein it has been laid down that the Assessing Officer shall assess or reassess the total income of the assessee. This should be read with the legislative history of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... provisions of section 153A of the Act clearly empower the AO to assess or reassess the total income of six assessment years immediately preceding the year in which search is conducted. This is irrespective of the fact that whether the Department has seized any incriminating documents or not. As regards the decision that in absence of any incriminating documents seized, no addition can be made, it is submitted that the decision of Hon ble Delhi High Court in the case of Kabul Chawla referred to supra has not been accepted by the Department. The Department has taken consistent view that the provisions of section 153A do not restrict the Assessing Officer to make addition only on the basis of incriminating documents. The provisions envisage as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... [2016] 240 Taxman 168/70 taxmann.com 234 (Ker.) (para 5) and (vi) CIT v. Promy Kuriakose [2016] 386 ITR 597 (Ker.) (para 5). 2. CIT Vs Ra j Kumar Arora [2014] 52 taxmann.com 172 (Allahabad)/[2014] 367 ITR 517 (Allahabad) where Hon ble Allahabad High Court held that Assessing Officer has power to reassess re turns of assessee not only for undisclosed income found during search operation but also with regard to material available at time of original assessment 3. CIT Vs Kesarwani Zarda Bhandar Sahson Alld. [ITA No. 270 of 2014] (Allahabad) where Hon ble Allahabad High Court held that Assessing Officer has power to reassess returns of assessee not only for undisclosed income found during search operation but also with regard to material availa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ia (24 taxmann.com 98. 211 Taxman 453, 352 ITR 493 where Hon ble Delhi High Court held that jurisdiction of AO under 153A is to assess total income for the year and hot restricted to seized material. Post search reassessment in respect of all 6 years can be made even if original returns are already processed u/s 143(1)(a) - Assessing Officer has power u/s 153A to make assessment for all six years and compute total income of assessee, including undisclosed income, notwithstanding that returns for these years have already been processed u/s 143(1)(a). Even if assessment order had already been passed in respect of all or any of those six assessment years, either under section 143(l)(a) or section 143(3) prior to initiation of search/requisitio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... documents or undisclosed income or property discovered in the course of search which were not produced or not already disclosed or made known in the course of original assessment 9. The Hon'ble Delhi High Court in its recent decision in the case of Pr. CIT vs. Meeta Gutgutia (2017) 395 ITR 526 in paras 69 to 72 has held as under: 69. What weighed with the Court in the above decision was the habitual concealing of income and indulging in clandestine operations and that a person indulging in such activities can hardly be accepted to maintain meticulous books or records for long. These factors are absent in the present case. There was no justification at all for the AO to proceed on surmises and estimates without there being any incrimina ..... X X X X Extracts X X X X X X X X Extracts X X X X
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