TaxTMI 
TaxTMI 
2017 (7) TMI 1324
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.... assessment year (AY) 2008-09 vide order dated 31.12.2013. 2. The only issue agitated before us by the assessee is the validity in law, in the facts and circumstances of the case, of the assumption of jurisdiction u/s.153C of the Act, which reads as under: 'Assessment of income of any other person. 153C. Notwithstanding anything contained in section 139, section 147, section 148, section 149, section 151 and section 153, where the Assessing Officer is satisfied that any money, bullion, jewellery or other valuable article or thing, seized or requisitioned, belongs or belong to a person other than the person referred to in section 153A, then the books of account or documents or assets seized or requisitioned shall be hand....
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....ear in the manner provided in section 153A.' 3. Opening the arguments for and on behalf of the assessee, it was submitted by the ld. Authorized Representative (AR), the assessee's counsel, that there was no seized material found during the search u/s. 132 of the Act in the case of Vishwakarma Mines & Building Materials Pvt. Ltd. (VMPL) on 21.06.2011 having a bearing on the determination of total income of the assessee. This is as only a copy of the assessee's audited final accounts, i.e., balance sheet and annexures thereto, were found during search and subject to seizure. The same stand already furnished as a part of the assessee's return of income filed on 30.09.2008 and subject to assessment u/s. 143(3) vide order dated 13.12.2010 (co....
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....eized material was furnished by the ld. Departmental Representative (DR), along with the satisfaction note, on the following date: Page No 131 Trial balance for the period 1.4.2007 to 31.3.2008 pertains to Kaivallya Entertainment Pvt. Ltd. Page No 132 Profit & loss account for the period ended 31.3.2008 pertains to Kaivallya Entertainment Pvt. Ltd. Page No 133 Balance Sheet as on 31.3.2008 pertains to Kaivallya Entertainment Pvt. Ltd. The satisfaction note, enclosed along with, reads as under: 'M/s. Kaivallya Entertainment Pvt. Ltd. PAN: AADCK 0637K A.Y.: 2008-09 During the course of search in the case of M/s. Vishwakarma Mines & Building Materials Pvt. Ltd. (Vishwakarma group) on 21-06-2011 the follow....
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....n search. Also, the balance-sheet also agrees with that furnished as a part of the return of income. The opportunity provided by us to the Revenue to exhibit the AO's satisfaction was guided primarily by the intent to find the basis thereof in-as-much as it could well be that there has been some omission in writing the satisfaction note, even as the satisfaction is otherwise discernible from the seized material itself. For example where a comparison of the two set of documents, i.e., as found and seized and that furnished by the assessee, itself reveals the basis of the said satisfaction, as where there is a difference in some corresponding figure/s, viz. debtors, creditors, etc. We are unable to find any basis for the said 'satisfaction' n....
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..../s. 143(3) r/w s. 153A, is bad in law. While the AO did not address this issue, i.e., as to jurisdiction, which could perhaps be for the reason that the same was not raised by the assessee before him, the ld. CIT(A), before whom this issue was raised per Gd. No.3, proceeded on the basis that the assessee is the person searched, so that the search or the requisition is itself sufficient for assuming jurisdiction for framing an assessment there-under (refer para 8 (through sub-paras 8.1 to 8.2.9), at pgs. 14-25 of the impugned order). The same, as would be apparent from the foregoing narration of facts and the material on record, is without basis in fact and in law. We are conscious, we may clarify, that the condition that the Assessing Of....