Seized Search Materials Trigger Section 153C: Invalidating Alternate Assessment Pathways for Unsearched Entities

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....ITAT adjudicated a dispute concerning assessment proceedings under sections 153C and 147. The tribunal determined that the AO improperly issued notice under section 148 when section 153C was the appropriate legal mechanism for assessment. Incriminating materials seized during search operations against another entity warranted proceedings under section 153C. The tribunal relied on precedential rulings emphasizing that amended section 153C is deemed operative from inception. Consequently, the tribunal dismissed the revenue's appeals, affirming the CIT(A)'s reasoned order and mandating that assessment proceedings for unsearched entities must be initiated exclusively under section 153C when search materials are involved, rendering section 147/148 proceedings invalid in such circumstances.....