2019 (8) TMI 195 - HC - Income Tax

Court dismisses appeal challenging additions in non-abated assessment orders without incriminating documents

The court dismissed the appeal under Section 260-A of the Income Tax Act, challenging additions in non-abated assessment orders under Sections 153A and ... Assessment u/s 153A - absence of any incriminating documents seized during the course of search - HELD THAT:- AO justification in making the addition in non abated assessment orders under Section 153A read with Section 143 has been answered against the Revenue in GAHOI DAL & OIL MILLS [2019 (7) TMI 1050 - MADHYA PRADESH HIGH COURT] AND VICE-VERSA [2018 (8) TMI 1629 - ITAT AGRA]. - Decided against revenue Issues involved:Validity of addition in non-abated assessment orders under Section 153A read with Section 143A of the Income Tax Act 1961.Analysis:The judgment pertains to an appeal under Section 260-A of the Income Tax Act 1961 challenging an order passed by the Income Tax Appellate Tribunal Agra Bench. The primary issue raised in this case is whether the Assessing Officer is justified in making additions in non-abated assessment orders under Section 153A read with Section 143A of the Act of 1961 in the absence of any incriminating documents seized during a search. The court referred to a batch of appeals, specifically I.T.A.No.21/2019, I.T.A.No.31/2019, and I.T.A.No.32/2019, wherein a similar question of law was answered against the Revenue on 12.07.2019.The court, after considering the precedents set in the aforementioned batch of appeals, concluded that in the absence of any incriminating documents seized during a search, the Assessing Officer is not justified in making additions in non-abated assessment orders under Section 153A read with Section 143A of the Income Tax Act 1961. Consequently, the court found the present appeal to be without merit and dismissed it. No costs were awarded in this matter.In essence, the judgment reinforces the principle that the Assessing Officer cannot make additions in non-abated assessment orders under Section 153A read with Section 143A of the Act of 1961 in the absence of incriminating documents seized during a search. The decision in this case aligns with the rulings in the batch of appeals mentioned earlier, providing clarity on the interpretation and application of the relevant provisions of the Income Tax Act 1961.