TaxTMI 
TaxTMI 
TaxTMI 
2022 (5) TMI 1101
X X X X Extracts X X X X
X X X X Extracts X X X X
....der:- 1. That the learned Commissioner of Income Tax (Appeals) has grossly erred both in law and on facts in upholding the order of assessment framed under section 153A/143(3) of the Income Tax Act, determining the total income of the appellant company at Rs. 5,75,25,440/- as against Rs. 1,48,20,440/-. 2. That the learned Commissioner of Income Tax (Appeals) has erred both in law and on facts in failing to appreciate that during the course of search, admittedly no incriminating material was found as a result of search conducted under sectionJ32(l) of the Act, as such, learned Deputy Commissioner of Income Tax has no jurisdiction to initiate the proceedings under section 153A of the Act. a. That the learned Commissioner of Income Tax (....
X X X X Extracts X X X X
X X X X Extracts X X X X
....as grossly erred in law as well as on facts in making additions of Rs. 3,00,00,000/- on account of sale of shares to Kimsuk Krishna Sinha u/s 69 of the Act because: a. The investment was fully explained and the same was held to be genuine in the earlier assessment made u/s 153A/143(3) and no addition was made. b. No fresh material or any evidence found to conclude different stand. c. Section 69 cannot be applied on the investments already recorded in the books of accounts. d. The assessee is not required to explain source of the source. e. The assessing officer has not made any enquiry on its own. f. No addition can be made merely on surmises and guess work. g. Assessment u/s 153 A cannot be made merely on change of opinion. ....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... assessment order dated 28/03/2013 has been passed u/s 153A/143(3) of the Act by making addition of Rs. 4,15,00,000/- after giving appeal effect to the CIT(A) order against the original assessment. As against the assessment order dated 28/03/2013, the assessee has filed appeal before the CIT(A). The Ld.CIT(A) vide order dated 18/03/2015 dismissed the appeal filed by the assessee. 5. Aggrieved by the order dated 18/03/2015, the assessee is before the Tribunal on the grounds mentioned above. 6. The Ld. Counsel for the assessee submitted that the assessment order dated 28/03/2013 is illegal since during the course of search u/s 132(1) of the Act, admittedly no incriminating material was found, therefore, the addtioins made by the A.O. which ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....in case of CIT vs. Kabul Chawla, 380 ITR 573 (Del.) is squarely applicable, wherein it is held as under: "Summary of the legal position" 37. On a conspectus of Section 153A(1) of the Act, read with the provisos thereto, and in the light of the law explained in the aforementioned decisions, the legal position that emerges is as under: i. Once a search takes place under Section 132 of the Act, notice under Section 153 A (1) will have to be mandatorily issued to the person searched requiring him to file returns for six AYs immediately preceding the previous year relevant to the AY in which the search takes place. ii. Assessments and reassessments pending on the date of the search shall abate. The total income for such AYs will have to ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....nto one. Only one assessment shall be made separately for each AY on the basis of the findings of the search and any other material existing or brought on the record of the AO. vii. Completed assessments can be interfered with by the AO while making the assessment under Section 153 A only on the basis of some incriminating material unearthed during the course of search or requisition of documents or undisclosed income or property discovered in the course of search which were not produced or not already disclosed or made known in the course of original assessment. Conclusion 38. The present appeals concern AYs, 2002-03, 2005-06 and 2006- 07. On the date of the search the said assessments already stood completed. Since no incriminating ....