9911796707
TMI Blog2025 (1) TMI 905X X X X Extracts X X X X X X X X Extracts X X X X ..... lties etc. were filed before the Assessing Officer. AO without detecting any defect in the books of accounts, rejected the same u/s 145(3) of the Act and made addition and fail to understand the reasoning of AO as at one hand he stated sale/purchase claimed to have been made by Company as bogus then he proceeds to make addition on the basis of GP disclosed by the assessee without any justification and explanation. Such order, on merit as well, fails to meet the test of law and deserves to be quashed. Assessee s appeals are allowed - Shri Shamim Yahya, Accountant Member, And Shri Sudhir Pareek, Judicial Member For the Appellant : Shri Deepak Upadhyay, CA Shri Amit Rai, CA For the Respondent : Ms. Jaya Chaudhary, CIT(DR) ORDER PER BENCH : T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sment order passed in consequence thereto is liable to be quashed. 4. On the facts and circumstances of the case, the learned CIT(A) has erred both on facts and in law in rejecting the contention of the assessee that the proceedings initiated under Section 153C and assumption of jurisdiction by AO are illegal and void ab initio. 5. On the facts and circumstances of the case, the learned CIT(A) has erred both on facts and in law in rejecting the contention of the assessee that the proceedings initiated under Section 153C and the assessment order passed in consequence thereto are bad in law in the absence of any incriminating material belonging to the assessee being found during the course of search. 6. On the facts and circumstances of the c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he contention of the assessee that the books of accounts of the assessee have been rejected by the AO without pointing out any defect specified under section 145(3) of the Act. (ii) That the CIT(A) has erred in rejecting the contention of the assessee that the addition has been made by the AO despite the assessee has been maintaining regular books of accounts and financial statement are audited as per law and nothing adverse has been pointed out by the AO. 10. On the facts and circumstances of the case, the learned CIT(A) has erred both on facts and in law in rejecting the contention of the assessee that the addition has been made by AO relying upon the statement recorded of third party without providing the opportunity of cross examination ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ating material was found from search at assessee s place. Rather it was material gathered at 3rd party which has prompted this assessment. Hence, he submitted that assessment should have been framed u/s. 153C. Further, he relied upon the decision of the Hon ble Supreme Court in the case of PCIT vs. Abhisar Buildwell Pvt. Ltd., CA No. 67580 / 2021 dated 24.4.2023, (2023) SCC Online SC 481_for the proposition that addition should be based upon incriminating material found in search. 4. Per contra, Ld. DR relied upon the orders of the authorities below. She submitted that notice was issued u/s. 153C and satisfaction was also recorded u/s. 153C. She further submitted that mentioning of 153A in assessment order will not be fatal. She further sub ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessee without providing an opportunity of cross-examine the same. Relying upon the decision of Hon ble Supreme Court in the case of Andaman Timber Industries v. CCE 2015 SCC Online SC 1051 he submitted that no adverse inference could be drawn against the assessee on the basis of statement recorded without giving assessee to cross examine the same. In support of his contention learned counsel also placed reliance on following judgments: - ITAT Delhi in the case of Mis. Maple Destinations And Dreambuild Pvt. Ltd. Versus DCIT, Circle - 16 (1), New Delhi, 2024 (3) TMI 1071, dated: 21-3-2024 - ITAT Delhi in the case of M/S. Rswn Ltd. Versus DCIT, Central Circle-31, New Delhi, 2024 (2) TMI 278, dated: 31-1-2024 - ITAT Delhi in the case of Divya ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... has held as under:- 6. Considering the fact that the Co-ordinate Bench of the Tribunal deleted the similar addition on the same set of facts for Assessment Year 2008-09 and 2014-15 and in the absence of any change of facts or circumstances pointed out by the Department, by respectfully following the order of the Co-ordinate Bench in ITA No. 3400 and 3402/Del/2023 (supra), we set aside the addition made by the A.O. which have been confirmed by the Ld. CIT(A) in so far as Assessment Year 2010-11 to 2013-14. 6. Considering the fact that the Co-ordinate Bench of the Tribunal has deleted the similar additions on the same set of facts for Assessment Years 2008-09 and 2014-15, which has also been followed in assessment years 2010- 11 to 2013-14, a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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