2019 (12) TMI 1416

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....r 2008- 09 and 2009-10 respectively. IT(SS)A No.274/AHD/2016 for A.Y.2008-09 (by Revenue): 2. The only effective ground raised by the Revenue relates to challenging the order of the ld.CIT(A) in deleting the addition of Rs. 3,91,36,700/- made on account of deemed dividend u/s.2(22)(e) by holding that completed assessment can be interfered with by the AO u/s.153A of the Act only on the basis of some incriminating material found during the search action. 3. The ld.Departmental Representative(DR) appearing on behalf of the Revenue submitted before us that the ld.CIT(A) had not appreciated the fact that there is no mention in section 153A of the Act that any incriminating material had to be found during the search in order that an asse....

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....9-10, it was observed by the, AO that the assessee is a share holder in two companies M/s. Jivraj Tea Ltd. as well as Vesta Exim Pvt. Ltd. respectively in which the public are not substantially interested. ii) The AO noted that the assessee is holding more than 10% share holder (voting power) in M/s. Jivraj Tea Ltd. and a!so having more than 20% share holding (voting power) in M/s. Vesta Exim Pvt. Ltd. is 46.93% and during the course of assessment proceedings of Vesta Exim for A.Y. 2013-14 it was noticed on perusal of the audit report of the assessee firm that as on 31.03.2013 it was showing an amount of Rs. 2,82,94,680/- as advance received from Jivraj Tea Ltd. iii) The AO noted that the share holding of the assessee in t....

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....hile making the assessment under Section 153 A on the basis of some incriminating material unearthed during the course of search. Following the above judgments; it is held that both these assessments, i.e., 2008-09, and 2009-10 (action u/s. 132(1) was carried on 18.02.2014) have already become final on the date of search. Not only this, on the same set of facts, the order for A.Y. 2008-09 has been passed under scrutiny u/s. 143(3) of the Act. The impugned additions have been made only on the basis of fishing enquiries in the form of verification of a possibility, without an iota of incriminating document, evidence found and without any relation to any evidence or .incriminating fact unearthed during the search. This not being permi....