AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2016 (10) TMI 1198
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....e of the assessee, at the outset, submitted that in all these cases no incriminating material was found during the course of search, based on which, the impugned addition was made and since the assessments in appeal are non-abated, additions cannot be made to the income in an assessment made under section 153A/153C without there being any material found during the course of search. He further invited our attention to the decision of Coordinate Bench of this Tribunal in one of the assessee's case i.e. Narpath Mehta Vs. ACIT in ITA No. 2152/MUM/2015, dated 30/09/2016 for the Assessment Years 2005-06 & 2008-09, wherein a similar view was taken. He further submits that the ground raised therein was an identical ground which was raised in all th....
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....tmental Representative placed reliance on the decision of the Hon'ble Supreme Court in the case of CIT vs. Calcutta Knitwears, Ludhina 362 ITR 673 (SC) and submitted that satisfaction recorded by the Assessing Officer is based on seized materials and the additions were made based on the seized material. 4. We have heard the rival submissions and perused the orders of the authorities below and the case-laws relied on. The short point for consideration in all these appeals before going into the merits of the disallowance is whether there is any incriminating material found in the course of search and whether the assessments have been abated or not. On a specific query by the Bench to the Ld. Departmental Representative to show the kind o....
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....or the Assessment Years 2005-06 & 2008-09 and set aside the additions/ disallowances made in those two years. Recently, the Bombay High Court in the case of CIT Vs. Gurinder Singh Bawa (supra) considered the question as to whether the addition can be made in nonabated assessments without there being any seized incriminating material and by applying its decision in the case of CIT Vs. Continental Warehousing Corporation reported in 374 ITR 645 (Bom.) held that once an assessment was not pending but had attained finality for a particular year, it could not be subject to proceedings under section 153A of the Act, if no incriminating materials were found in the course of the search. While dealing with the issue, the Jurisdictional High Court al....
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....er of Income-tax (Appeals) held that the addition of an amount of Rs. 43.67 lakhs as deemed dividend has to be deleted. This on the ground that there were no accumulated profits available with M/s. K. P. Developers (P.) Ltd. to distribute amongst it's shareholders. However, so far as the addition in respect of the unexplained gifts aggregating to Rs. 93.70 lakhs is concerned, the Commissioner of Income- tax (Appeals) did not disturb the finding of the Assessing Officer. On further appeal before the Tribunal, the assessee inter alia challenged the validity of the assessment made under section 153A of the Act. This onaccount of the fact that no assessment in respect of the six assessment years were pending so as to have abated. The impug....
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.... contrary to and/or not disclosed during the regular assessment proceedings. In view of the above, on issue of jurisdiction itself the issue stands concluded against the Revenue by the decision of this court in Continental Warehousing Corporation (Nhava Sheva) Ltd. (supra). In the appeal before us, the Revenue has made no grievance with regard to the impugned order of the Tribunal holding that in law the proceedings under section 153A of the Act are without jurisdiction. This in view of the fact that no assessment was pending, so as to abate nor any incriminating evidence was found. The grievance of the Revenue is only with regard to finding in the impugned order on the merits of the individual claim regarding gifts and deemed divide....