2015 (12) TMI 1236

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....the assessment order u/s. 158BD r.w.s. 158BC r.w.s. 143(3) of the I.T. Act after holding that the satisfaction note dated 15.5.2002 is belated which would not confer jurisdiction of the assessing officer to initiate the proceedings u/s. 158BD of the I.T. Act. 2. On the facts and in the circumstances of the case and in law, the Ld. CIT(A) has failed to appreciate the fact that Sec. 158BD of the I.T. Act reveals no time limit prescribed for issue of notice u/s. 158BD of the I.T. Act and Sec. 158BE(2) of the I.T. Act only talks about the time limit for completion of assessment u/s. 158BD of the I.T. Act after issue of notice." 3. Briefly stated the facts of the case are that a search u/s. 132 of the Act was conducted on 27.7.1999. During th....

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....l Bench of the Tribunal, Delhi in the case of Manoj Aggarwal 113 ITD 377. 4.1. After considering the facts and the submissions, the Ld. CIT(A) observed that whether there was proper assumption of jurisdiction u/s. 158BD qua the issue of notice. The Ld. CIT(A) observed that the block assessment in the case of M/s. Tips Industries Ltd was completed on 28.9.2001 and the Satisfaction note was issued on 15.5.2002. Thus, there was a time gap of 7½ months between the completion of block assessment and the issue of Satisfaction Note to the AO of the assessee. Drawing support from the decision of the Special Bench of the Tribunal, Delhi (supra), the Ld. CIT(A) was convinced that in the case of the assessee the delay was more than the delay i....

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....sessment in the case of M/s. Tips Industries Ltd was completed on 28.9.2001. iii) The Satisfaction Note was forwarded by the AO of searched person (M/s. Tips Industries Ltd) to the AO of the assessee on 15.5.2002 i.e. after a gap of 7 ½ months. iv) The AO of the assessee issued and served the notice u/s. 158BD r.w. Sec. 158BC of the Act on 5.9.2005. Thus the notice u/s. 158BD was issued and served after a gap of more than 3 years from the date of receiving of the Satisfaction Note from the Officer of the searched party. 9. With this undisputed factual matrix all that we have to consider is whether the issuance of this note can be treated as having been served within the reasonable period of time. No doubt, there is no provision....