TaxTMI 
TaxTMI 
2020 (1) TMI 1055
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....ect in law and on facts. 2. On the facts and circumstances of the case, the CIT(A) has erred in deleting the addition of Rs. 2,27,51,586/- on account of undisclosed consultancy fee. 3. On the facts and circumstances, the case, the CIT(A) has erred in holding that the income pertains to the company who raised the invoice and not the assessee despite the fact that there was no documentary evidence to establish that any consultancy service was provided by it. 4. On the facts and circumstances of the case, the CIT(A) has erred in holding that the income does not pertain to the assessee despite the statement of payee stating that the service was provided by the assessee and invoice was raised by the company at the behe....
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....e end of the financial year, in which the search was conducted and concluded in terms of section 153B of the Act. The Ld. AR before us, submitted that no assessment was framed u/s 153A of the Act for the AY 2007- 08 on or before 31/03/2014 in respect of search conducted on 16/09/2011 in the hands of the assessee. 5. Subsequently, there was a second search conducted u/s 132 of the Act on assessee on 16/01/2013. Notice u/s 153A of the Act was issued on 15/10/2013 pursuant to the said search on 16/01/2013. The assessee filed its return on 05/11/2013 in response to notice issued u/s 153A of the Act. The assessment u/s 153A r.w.s 143(3) of the Act for the AY 2007-08 was framed on 30/03/2015 after adding a sum of Rs. 2,27,51,586/- on accoun....
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.... to the office of M/s U. K. Paints India Ltd. which is parent company. The documents of overseas company and books of accounts, bank statements were kept in the premises in India. Therefore, this invoice which was raised by U.K. Paints (Overseas) Pvt. Ltd. on unrelated Indian party was found in the said office premises at the time of survey/search. The assessee had further pleaded that in any case, this document was only found in the premises of U.K. Paints Overseas Pvt. Ltd. and the presumption in terms of section 132(4A) and Section 292C of the Act would be only in favour of U. K. Paints (Overseas) Ltd. and not the assessee. In any case, the assessee had also pleaded that even if any addition need to be made pursuant to this invoice wh....
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.... is whether the addition could have been justifiably be made u/s 153A. There were two searches on the appellant. The first search was conducted in November, 2011 on the appellant. The document in question viz., the invoice was impounded from the office premises of U.K. Paints group, of which the appellant is the Managing Director. Thus to say that the office premises at 38, DDA Commercial Complex, Zamrudpur is not the premises of the appellant but of U.K. Paints Overseas Ltd. is an erroneous distinction. No doubt the document has been recovered in a survey at the premises, was conducted along with the search and seizure action at the appellant's residence. This document was recovered in the survey before the completion of the search at the ....
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....ts Ltd, which is the holding company of UK Paints Overseas P. Ltd , and the appellant is the MD of both. The appellant is the MD of UK Paints Overseas Ltd., the company in whose books the transaction appears in the regular course of its business. The documents forwarded by the A.O. in the Remand Report, in the form of the Offer Document for the FCCB issue also does not mention the name of the appellant as a consultancy provider for the FCCB issue. Therefore, I am of the view that there is no evidence to pin this consultancy income on the appellant. Consequently, the addition made in the hands of the appellant has to be deleted." 7. We find that the Ld. CIT(A) had categorically stated that the invoice that was found during the co....