2025 (9) TMI 528 - SCH - Income Tax

s.153C notices require the assessing officer to record satisfaction that received material likely affects specific assessment years before issuing notice

SC held that notices under s.153C require the jurisdictional assessing officer to first record satisfaction that material received is likely to affect the ... Validity of notices issued u/s 153C - mandation of recording satisfaction - As decided by HC [2024 (5) TMI 1571 - DELHI HIGH COURT] jurisdictional AO would have to firstly be satisfied that the material received is likely to have a bearing on or impact the total income of years or years which may form part of the block of six or ten AYs' and thereafter proceed to place the assessee on notice under Section 153C. The power to undertake such an assessment would stand confined to those years to which the material may relate or is likely to influence. Absent any material that may either cast a doubt on the estimation of total income for a particular year or years, the AO would not be justified in invoking its powers conferred by Section 153C. HELD THAT:- Revenue fairly submits that the similar Special Leave Petitions have already been dismissed by this Court. Special Leave Petitions are dismissed condoning the delay in filing the SLPs. The petitioners' counsel for Revenue conceded that 'similar Special Leave Petitions have already been dismissed by this Court.' Relying on that concession, the Court dismissed the Special Leave Petitions, explicitly 'condoning the delay in filing the SLPs.' The order therefore: (1) dismisses the SLPs; (2) condones the delay in filing; and (3) disposes of 'Pending applications, if any.' The ruling rests on the concession of prior dismissal of like petitions rather than fresh adjudication on merits. Key legal terminology: Special Leave Petitions (SLPs), condoning the delay, and disposal of pending applications.