TaxTMI 
TaxTMI 
2022 (6) TMI 1010
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....15. The grounds of appeal read as under: 1. For that the order of the learned Commissioner of Income Tax (Appeals) is contrary to law, facts and circumstances of the case and in any case is opposed to the principles of equity, natural Justice and fair play. 2. For that the learned Commissioner of Income Tax (Appeals) has erred in not considering the fact that Learned Assessing Officer had erred in not initiating proceedings U/s.153C r.w.s.153A under the facts and circumstances of the case. 3. For that the Learned Commissioner of Income tax (Appeals) erred in not considering that the Assessing Officer has erred in not providing "Satisfaction Note" as per provisions of section 153C r.w.s 153A under the facts and cir....
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....is most humbly prayed that this respected authority may be pleased to a. Hold the notification issued and proceedings U/s. 143(3) was without Jurisdiction. b. Delete the addition of Rs.12942756/-in respect of expense not related to business income. c. Delete the addition of Rs.89824/- in respect of Proportionate disallowance of expense u/s 14A. d. Pass such other orders as this respectful authority may deem fit. 2. The Ld. AR assailed the jurisdiction of Ld. AO to submit that the assessment was based on incriminating material and therefore, the assessment should have been framed u/s 153C. The Ld. AR also assailed the additions on merits. The Ld. CIT-DR, on the other hand, justified the assessment proce....
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....e assessee. Since the amount of Rs.95.01 Lacs was claimed as exempt, other business expenditure was also disallowed on proportionate basis u/s 14A which came to Rs.0.89 Lacs. Finally, the income was determined at Rs.236.75 Lacs. Appellate proceedings 4.1 During appellate proceedings, the assessee assailed the validity of assessment proceedings on the ground that no satisfaction note was drawn and no incriminating material was found and used in the assessment order. However, Ld. CIT(A) held that Ld. AO did not initiate proceedings u/s 153C for this assessment year rather the case was assessed as regular scrutiny case well within the time provided under the act. Just because a search has been conducted in the case of assessee's father, ....
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....s in further appeal before us. Our findings and Adjudication 5. So far as the legal grounds are concerned, we find that Ld. AO has not referred to any incriminating material while making the assessment rather the return has been assessed in regular scrutiny assessment proceedings. The assessee group was searched on 19.04.2012 which falls in AY 2013-14. The provisions of Sec.153C, as stood at that point, mandate Ld. AO to determine the total income of such other person for six assessment years immediately preceding the assessment year (2013-14 in the present case) relevant to the previous year in which search is conducted or requisition is made. In other words, the assessment was to be framed u/s 153C only for AYs 2007-08 to 2012-13 an....