9911796707
TMI Blog2024 (11) TMI 360X X X X Extracts X X X X X X X X Extracts X X X X ..... was received by the AO of the assessee on 03.10.2022. The Assessing Officer has also recorded 'Satisfaction Note' under Section 153C. In view of express satisfaction note recorded u/s 153C of the Act for different Assessment Years including Assessment Year 2021-22 in question, the proceedings initiated under Section 143(2) of the Act for regular assessment requires to be abated and give way to the special provisions of Section 153C of the Act. Similar issue came up for adjudication in Akansha Gupta [ 2024 (7) TMI 1133 - ITAT DELHI] wherein the assessment framed under Section 143(3) of the Act were quashed. Thus, having regard to the scheme of the Act for assessment of person other than searched person codified under Section 153C of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nducted and consequently passing the assessment order under section 143(3) of the Act instead of section 153C of the Act. 9. On the facts and circumstances of the case, assessment order is otherwise liable to be quashed in the absence of notice being issued under section 153C of the Act. 10. On the facts and circumstances of the case, the assessment proceedings initiated without complying with the provision of section 153C of the Act is bad in law and without jurisdiction and the same is liable to be quashed. 4. When the matter was called for hearing, the ld. Counsel, at the outset, urged for admission of additional grounds and submitted that the additional grounds are legal in nature for which relevant facts are available on record. The le ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d on the satisfaction note recorded by the AO of the searched person as well as that of AO of the assessee, the prerequisites for invocation of overriding provisions of Section 153C of the Act is stated to be fulfilled and therefore, the jurisdiction conferred to the AO of the assessee is available under Section 153C of the Act. The Assessing Officer in the instant case, however, has disregarded the special provisions of Section 153C of the Act despite recording satisfaction note drawn and framed regular assessment under Section 143(3) of the Act which is impermissible in law. To support such contention, the ld. Counsel referred to the decision of the Coordinate Bench of ITAT in the case of Akansha Gupta Vs. ACIT in ITA No. 3074/Del/2023, o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessment of income which is attributable to material found in the course of search of other party which is found relatable to the assessee. 7. We have carefully considered the rival submissions. The short question as per additional grounds is, whether the Assessment Order passed by the AO under Section 143(3) of the Act is illegal and not maintainable in view of the specific provisions of Section 153C of the Act. It is the case of the assessee that in the facts of the case, the Assessment Order ought to have been passed under Section 153C of the Act rather than under Section 143(3) of the Act. It is further case of the assessee that the prerequisites for invocation of Section 153C did exist in the present case and stood fulfilled for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... therein relate to the assessee i.e. Mrs. Tejinder Kaur. Premises from where assets and documents/digital data found and Seized: Premise at C-42, C-Block, Preet Vihar, Delhi-110092. Annexure Page No./File Description Remarks A-5 Cloned data of Parveen Jain's mobile i-phone. Cloned data of Parveen Jain's mobile marked as Annexure A-5 seized from the premise at C-42, C Block, Preet Vihar, Delhi-110092 having details of the actual sale consideration of the property at D- 115, Anand Vihar, Delhi -92 and payments in cash thereof. It is noticed that, Mrs. Tejinder Kaur has sold the above said property in which huge amount of cash received by Mrs. Tejinder Kaur. 2. After examining the seized documents/digital data and information contained ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f recording of the satisfaction will be the deemed date for the possession of the seized documents, which is 30.06.2022 in the present case and the date of search and six years period would be reckoned from this date i.e. 30.06.2022. Therefore, there is merit in the submission of the assessee that the assessment year relevant for previous year in which search was conducted in the case of the assessee will be AY 2023-24 and the six assessment years immediately preceding the assessment year relevant for the previous year in which search was conducted for initiating proceeding u/s 153C of the Act will be AY 2018- 19 to 2022-23. Therefore, respectfully following the decision of the cited case, it is held that in the present case, the assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X
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