HC determined reassessment proceedings initiated under s.147/148 ...

Reassessment Under Section 147 Invalid When Based on Search Materials - Must Proceed Under Section 153A/153C

February 22, 2025

Case Laws Income Tax HC

HC determined reassessment proceedings initiated under s.147/148 were invalid when based on materials discovered during search operation under s.132. Where incriminating evidence emerges from search, Revenue must proceed under s.153A/153C framework. The case originated from search of Shilpi Jewellers Pvt Ltd revealing accommodation entries through shell company Green Valley Gems Pvt Ltd. Court held that since foundation was search action yielding new materials, Revenue cannot bypass s.153A/153C by invoking s.147/148. Legislature intended these provisions to operate in distinct spheres, with s.153A containing non-obstante clause creating exception to regular reassessment under s.147. Notice under s.147 and subsequent actions declared without jurisdiction and void.

View Source

← Previous Next →

HC determined reassessment proceedings initiated under s.147/148 ...

Reassessment Under Section 147 Invalid When Based on Search Materials - Must Proceed Under Section 153A/153C

February 22, 2025

Case Laws Income Tax HC

You may also like:

The Rajasthan High Court examined the validity of reassessment proceedings u/s 147/148/148A OR u/s 153C/153A based on material/information collected during a search from...

Reopening of assessment u/s 147 or assessment u/s 153C - reassessment was made based on the materials found in the course of search conducted on third party - The...

Assessment u/s 153C - Unexplained investment being share capital and share premium - no incriminating material seized during search. CIT(A) held that three conditions...

Assessment u/s 153A - Addition u/s 69A by the Assessing Officer on account of difference in amount credited in bank and sale proceeds shown in the income tax return. It...

Section 153C applies equally to all non-searched entities, without creating a separate regime where the AO of the searched and non-searched entity are the same. The...

Assumption of jurisdiction under 153C - assessment in search cases - Even as per the pre-amended provisions of Section 153C, AO has to record satisfaction to the effect...

Validity of assessment proceedings initiated u/s 153C - In case of other person u/s 153C of the Act, the starting point for computation of the block period would be the...

The Appellate Tribunal held that the Assessing Officer (AO) did not satisfy the condition precedent before issuing a notice u/s 153C of the Income Tax Act against the...

The case involved the legality of assessment u/s 153A vs. 153C based on materials found during a search of a third party. It was held that assessment u/s 153A cannot be...

Assessment u/s 153C - Additions made by revenue based on search findings in group cases of M/s SRS mining and its partners - The Tribunal noted that the AO of the...

Interplay between Sections 153C and 147 of the Income Tax Act, specifically whether recourse to Section 147 is available when the Assessing Officer (AO) is empowered to...

Assessment u/s 153C - Profit estimation on money received for new construction and redevelopment projects - extrapolation of income for the search period. The assessee...

ITAT quashed assessment order made under section 143(3) for AY 2021-22, declaring it void ab initio. The assessment, based on materials from search operations conducted...

Assessment u/s 153C - undisclosed income of the present assessee - As per the provisions of section 153C of the Act, incriminating material which was seized had to...

Additions u/s 153A solely based on a sketchy statement of an accountant u/s 132(4), which in turn is based on a confessional statement of a director in a previous...

Quick Updates: