2019 (4) TMI 1038

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....mmissioner of Income Tax. 3. Brief facts are as under : The Petitioner, at the relevant time, was working as an independent Director of one M/s. Toporder Properties Pvt. Ltd. which was one of the Sterling Biotech Ltd. group companies. The said group of entities, including the Petitioner, was subjected to search and seizure action under Section 132(1) of the Income Tax Act, 1961 ('the Act', for short) and survey operations under Section 133A of the Act on 28/06/2011. Subsequent to the search, the Assessee filed the return of income for the Assessment Year 2011­2012 declaring total income of Rs. 7.20 Lakhs (rounded of). The Assessing Officer completed the assessment under Section 153A read with 143(3) of the Act on 20/03/201....

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....nder consideration. This tantamount escapement of income within the meaning of Section 147 of the Income Tax Act. Survey u/s. 133A was conducted in the case of M/s. PMT Machines Ltd., 20/B, Khatau Bldg., A. D. Marg, Fort, Mumbai by DDIT, (Inv) Unit­I, on 28.6.2011. The survey was conducted simultaneously when the Search & Seizure action was taken in the case of M/s. Sterling Group of cases on 28.06.2011 by the DDIT (Inv.) Unit VII(4), Mumbai. During the course of survey action 133A the survey team impounded certain documents which includes Annexures A­4 and A­5 inter alia. On perusal of these Annexures it is observed that these impounded documents include vouchers. These vouchers show the payments have been made to Shri....

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....he time of assessment and after considering these documents/materials assessment concluded u/s. 143(3) w.r.t. 153A and hence it is stated that there is only difference of opinion and change of view. In the absence of the additional evidence other than seized material we hereby state that provisions of reassessment under section 147/148 is not warranted and is bad in law as it amounts to change in view." 6. The Assessing Officer rejected such objections by an order dated 19.09.2018. In such order, in relation to the Petitioner's contention of the documents relied upon in the reasons already available with the Assessing Officer during the original assessment, he stated as under : "5. During the course of the assessment proceed....

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....y in view of the Explanation 1 to Section 147 of the Act. 9. Having thus heard the learned Counsel for parties, we may refer to the reasons recorded by the Assessing Officer. In such reasons, he has referred to two facts. Firstly, as per the seized documents (Annexure­A7) during the search, an amount of Rs. 20,00,000/­ was stated to have been paid in cash by the Assessee to one S.K.G. According to the Assessing Officer, the Assessee had cash on hand of Rs. 20,00,000/­ which was undisclosed. The second fact which the Assessing Officer relied upon was the seizure of vouchers during the search showing a total payment of Rs. 85,35,000/to the Assessee. Here again, the Assessing Officer believed that the Assessee had thus received ....