TaxTMI 
TaxTMI 
2022 (5) TMI 933
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....the sake of ready reference, we give below the grounds of appeal for Assessment Year 2011-12, which reads as follows: 1. The order of the CIT(A) is opposed to law and facts of the case. 2. The CIT(A) has erred in holding that there is no incriminating material to support initiation of proceedings u/s 153C of the I.T. Act. 3. The CIT(A) has failed to appreciate the fact that the reassessment proceedings were initiated consequent to separate search action on 23.9.2016 in the group case of M/s Srinivasa Trust at the office of M/s KBD Sugars and Distilleries during which incriminating evidences were found against the assessee which were seized. 4. The CIT(A) failed to appreciate that satisfaction was recorded....
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....the searched person, the following documents relating to the assessee were found : S1. No. Annexures Page No. 1 A/DAS/01 129-133, 213-242 2 A2/SUN/133A 2-6 3 A2/SUN/133A 16-42 4 Statement of Shri. D A Srinivas Recorded on 26.09.2016 at the office premises of M/s KBD Sugars and Distilleries. 5. The Assessing Officer of M/s. Srinivasa Trust after recording satisfaction that the seized documents mentioned above belongs to the assessee and has a bearing on the total income of the assessee handed over the above seized material to the AO of the assessee. Upon receipt of the seized material, the AO of the assessee proceeded to make an assessment in accordance with the provisions of section 153....
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....,00,703 For Assessment Year 2013-14: Income/ Deductions As per R.I. u/s.139 (In Rs.) As per Section 143(1) As per order u/s.143(3) As per R.I. u/s.153C (In Rs. ) Assessed Income as per 143(3) r.w.s 153C (In Rs.) Income from Business 66,28,46,971/- 66,28,46,971/- 66,28,46,971 66,28,46,971/- 66,28,46,971/ Income from house property 3,90,73,187/- 3,90,73,187/- 3,90,73,187 3,90,73,187/- 3,90,73,I87/- Long-term with indexation 19,74,56,561/- 19,74,56,561/- 19,74,56,561 19,74,56,561/- 19,74,56,561/ - Income from other Sources - - 9,37,052 - 937052/- Gross Income 89,93,76,719/- 89,93,76,719/- 90,03,13,771 89,93,76,719/- 900313771/- Les....
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....,51,22,973/- 4,51,22,973/- Income from 3,37,34,054/- - other Sources 435951590 3,37,34,054/- 87134251 Gross Income 38,34,51,393/- - - 38,34,51,393f - 43685159, 11 Less: Chapter VIA Deduction 9,00,000/- - 9,00,000/- 9,00,000/- Total Income 38,25,51,390/- 38,25,51,390/- 43,59,51,590 38,25,51,390/- 43,69,51,690 It can be seen from the above charts that the same income adopted in first assessment order under section 153C or the total income declared under section 139(1) or assessed in an earlier order under section 143(3) or under section 153C of the Act has again been assessed for these 4 Assessment Years. The submission of the assessee before CIT(A) was that ....
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.... an undisclosed income is drawn during the course of enquiry, during search or during post-search enquiry, Section 153C of the Act would have no application. Thus, the detection of incriminating material leading to an inference of undisclosed income is a sine qua non for invocation of Section 153C of the Act". 8. The CIT(A) also referred to decision of Bangalore Bench of the Income Tax Appellate Tribunal in ITA Nos. 272 to 274/Bang/2018, order dated 16/05/2019, in the case of ACIT Central Circle 2(3) Bangalore vs Smt. Pallavi Ravi wherein it was held that if no additions to income / undisclosed income have been made in the orders of assessment based on seized materials then they cannot be considered as undisclosed income. 9. It was al....