TaxTMI 
TaxTMI 
2020 (10) TMI 86
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....iew of the facti. that there is no specific reference of any seized material belonging to the appellant on the basis of which above finding was given, and ii. that no enquiries were made from any of the alleged recipients of the interest and none was confronted with relevant document(s). 2.1 That the finding of the CIT(A) is based on mere surmises and conjectures without proof and corroboration by independent evidence. 3. That on the facts and circumstances of the case and in law the CIT(A) erred in not accepting the appellant's contention that Additional Payments having not been claimed as deduction by appellant, no disallowance could have been made in the hands of the appellant. 3.1 That without prejudice the CIT(A) erred in upholding the disallowance of Additional Payments made to the recipients who were not the owners of land and to the payment made in cash. 3.2 That without prejudice the CIT(A) erred in not himself quantifying the addition to be made. 4. That on the facts and circumstances of the case and in law the CIT(A) erredin upholding the disallowance u/s 40A(3) in respect of which no deductionwas claimed by the a....
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....ific plea that no satisfaction having been recorded by the AO of the searched person in the file of the searched person, the assumption of jurisdiction u/s 153C in the present case was bad in law, thereby rendering the assessment also bad in law and void-ab-initio. 4. In the ground of Appeal no.1 taken as above, no doubt, it has not been specifically mentioned that assumption of jurisdiction is bad in law on the ground that satisfaction was not recorded in the file of the searched person. However, lest it may be construed a deficiency/shortcoming/defect in the ground no.1, a supplementary ground is being taken on the same issue, as an additional ground, to put away any doubt. The assessee seeks to take the following additional ground. 5. Additional Ground of Appeal:- "That on the facts and circumstances of the case and in law, the CIT(A) erred in rejecting the appellant's contention that the assumption of jurisdiction by the AO for making assessment u/s 153C was bad on facts and in law on the ground that the AO of the searched person had not recorded satisfaction in the file of the searched person, for assuming jurisdiction u/s 153C of the Act in the case....
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....ose were made as per u/s 143(3) of the Act passed on 31.12.2008. 7. The assessee preferred appeal before the ld CIT(A) who confirmed the addition on account of PDC, additional payment as well as disallowance u/s 40(3). These additions are challenged before us. The additional grounds raised by the assessee is challenging the addition stating that disallowances/ additions made in assessment order u/s 153C are not based on any incriminating material for AY 2006-07 and therefore, the issue is squarely covered in favour of the assessee by the decision of the Hon'ble Delhi High Court in case of Kabul Chawla Vs. CIT. The second contention raised was that the ld AO has repeated the addition which were already made in the assessment order passed u/s 143(3) of the Act. He otherwise submitted that additions are made on the basis of recorded entries in the books of account and not on basis of incriminating material found. He further referred to the assessment order also to show that there is no incriminating material found with respect to assessment year 2006-07. 8. The ld DR vehemently submitted that it is not necessary that in 153C proceedings the additions are required to be made only....
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....ssessee raised the following grounds of appeal in ITA No. 1826/Del/2013 for the AY 2008-09:- "1. That on the facts and circumstances of the case and in law, the CIT(A) erredin rejecting the appellant's contention that the assumption of jurisdiction to make assessment by the Assessing Officer was bad in law, thereby rendering the assessment also as bad in law and void ab-initio. 2. 'That on the facts and circumstances of the case and in law, the CIT(A) erredin rejecting appellant's contention that assessment order was bad in law and void ab-initio on the ground that the Assessing Officer relied upon the material seized in the course of search on M/s BPTP group of cases despite:- i} that such material did not belong or relate to the appellant and, ii) that no incriminating material belonging to the appellant wasdiscovered and seized in the course of such search. 3. That on the facts and circumstances of the case and in law the CIT(A) erred in holding to quote, 'that seized documents definitely prove that interest is paid on PDC' despite- i. that the seized record on the basis of which above finding was given, d....
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....le jurisdictional High Court. 16. The learned departmental representative vehemently objected to the additional ground and stated that this are not raised before the lower authorities and therefore it cannot be allowed to be raised now 17. we find that the assessee has raised the jurisdictional issues with respect to Under which Section the assessment order should have been passed. This goes to the root of the matter, no fresh facts are required to be investigated as complete details are available in the assessment orders itself, failure to raise the ground in the original appeal memo cannot be a reason to deprive the assessee to raise a jurisdictional issue and it can be raised at any time during the course of the pendency of the appeal. Hence we admit the same. 18. Now we proceed to adjudicate on the additional ground whether the assessment order should have been passed by the assessing officer u/s 153C of the act on it has been correctly passed by the assessing officer u/s 143 (3) of the act. It is also pertinent to note that the assessment order has been passed u/s 153A read with Section 143 (3) of the act. This is also in accordance with the provision of the income ta....