TaxTMI 
TaxTMI 
2021 (9) TMI 6
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....nter alia that :- "Whether on the facts & Circumstances of case, the ld. CIT(A) was correct in quashing the reopening of the assessment u/s 148 of the LT. Act by stating that the action should have been taken u/s 153(C) of the Act by holding that transaction of sweat equity shares allotted to the assessee at NIL consideration recorded in the books and observed during the post search investigation would fall within the meaning of word "belongs to", as provided us 153C of the Act." 2. Briefly stated the facts necessary for adjudication of the controversy at hand are : Assessee filed return of income on 25.07.2009 at the income of Rs. 1,09,750/-. M/s. Rockland Hospital Ltd. group of company was searched under section 132 of the Inc....
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.... filing an appeal who has annulled the reopening and thereby quashed the assessment order by allowing the appeal. Feeling aggrieved by the order passed by the ld. CIT (A), the Revenue has come up before the Tribunal by way of filing the present appeal. 5. We have heard the ld. Authorized Representatives of the parties to the appeal, gone through the documents relied upon and orders passed by the revenue authorities below in the light of the facts and circumstances of the case. 6. Undisputedly, 3,50,000 sweat equity shares of Rs. 10 each with premium of Rs. 190 per share were issued to the assessee by M/s. Rockland Hospital Ltd. in accordance with the agreement dated 28.01.2008. It is also not in dispute that during search operation co....
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....rjee, who was a Doctor and was allotted 1,000 shares of Rs. 10 each at a premium of Rs. 190 each. The quantum of addition involved was only Rs. 2,00,000/-. The other additions relied upon by the appellant are the decisions of other CIT, Appeals. The Hon'ble ITAT in the above decision held that since the reassessment was initiated on the basis of incriminating material found during search in the case of third party i.e. M/ s Rockland Hospital Limited, the provisions of 153C were applicable in this case and not the provisions of section 147/148 for this reason. The reassessment was quashed and proceedings u/s 147/148 were treated as void-ab-initio. The quantum involved in the said case and also in the decisions of CIT (A) in other cases w....
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....T (A) has rightly quashed the assessment by following the order passed by the coordinate Bench of the Tribunal in case of Rajat Shubra Chatterjee in which reassessment was initiated on the basis of same third party incriminating material. 9. Furthermore, ld. AR for the assessee also placed on record order passed by the coordinate Bench of the Tribunal in ITA No.4054/Del/2015 & CO No.166/Del/2018 in case of Shri Umesh Upadhyay order dated 19.03.2019, discussed by the AO in para 7.8 of the assessment order, in which reassessment was initiated on the basis of same third party incriminating material qua issuance of 100,000 equity shares with face value of Rs. 10 having premium of Rs. 190 per share as sweat equity shares by M/s. Rockland Hosp....