TaxTMI 
TaxTMI 
2025 (5) TMI 2126
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....ned. 4. In both the years apart from the grounds raised on merits, has also taken legal grounds which reads as under:- "Additional Ground Number 1:- 1. In the facts and circumstances of the case and in law, the learned Assessing Officer erred in passing the assessment order without providing Copy of certificate duly signed by the Investigating Officer under Rule 112F r.w.s 153A read with clause no. 4 and 5 of CIRCULAR NO. 10/2012 [F. NO. 282/22/2012-TT (INV. V)), DATED 31-12-2012 for AY 2020-21. Additional Ground Number 2:- 2. In the facts and circumstances of the case and in law, the learned Assessing Officer erred in passing the assessment order without recording satisfaction u/s 153A r.w.r 112F. Additional Ground Number 3:- 3. In the facts and circumstances of the case and in law, the learned Assessing Officer erred in passing the assessment order on the basis of approval granted u/s 153D in a mechanical manner and without considering the provisions of Rule 112F. Additional Ground Number 4:- 4. In the facts and circumstances of the case and in law, the learned Assessing Officer erred in passing the assess....
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....s not substantiated with documentary evidence. Since the cash was claimed to be belonging to Sajid Sheikh, the information was forwarded to the Assessing officer having jurisdiction over his case for further necessary action. 7. During the course of enquiry, explanation of the entries in red cash voucher book which was impounded was asked and the entries of the same have been incorporated from pages 2-4 of the assessment order for A.Y.2019-20. The assessee's explanation was that red cash voucher pertains to one of its employees, Shri Rakesh Patade, however, the ld. AO noted that during the course of statement u/s. 131, assessee had claimed that cash voucher pertains to him and he also confirmed that cash voucher has been signed by its employee Shri Rakesh Patade and therefore, denial of cash voucher is after thought of assessee. As per the red cash voucher book there was a receipt of cash of Rs. 10,00,000/- and during the course of the statement it was admitted that assessee has received Rs. 26,87,000/- during A.Y.2019-20. Based on these proceedings u/s. 153A were initiated for previous 6 assessment years and AY 2020-21, accordingly, notices were issued u/s. 153A on 27/01/2021 a....
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....ding the assessment year relevant to the previous year in which search is conducted or requisition is made. 2. in consequence of the powers conferred by clauses (64) and (66) of the Finance Act, 2012 the Central Government amended the Income Tax Rules, 1962, to insert a new Rule 112F after the existing Rule 1128 specifying the class or classes of cases in which the Assessing Officer shall not be required to issue notice for assessing or reassessing the total income for six assessment years immediately preceding the assessment year relevant to the previous year in which search is conducted or requisition is made 3. The aforesaid amendment was introduced with a view to reduce infructuous and unnecessary proceedings under the Income Tax Act, 1961 in cases where a search is conducted u/a 132 or requisition made w/a 132A and cash or other assets are seized during the election period, generally on a single warrant, and no evidence is available, or investigation required, for any assessment year other than the assessment year relevant to the previous year in which search is conducted or requisition it made. 4. in such cases, the officer investigating the case, w....
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....d cash voucher book (Ajanta) containing written pages 1 to 39 found and impounded u/s 131 on 22.04.2019 during enquiry proceedings in the case of Shri Vijay Madan Verma at Navghar Police Station, Mumbai-400081 Shri Vijay Madan Verma in his statement recorded on oath has stated that the cash was received from Shri Sajid Sheikh towards. (The copy of incriminating materials i.e. red cash voucher book (Ajanta) containing written pages 1 to 39 is enclosed). 10. The ld. DR submitted that here in this case requisition u/s. 132A was carried out in the case of the assessee where Panchnama was drawn on 30/04/2019, on the basis of information that sum of Rs. 10,00,000/- have been found on 22/04/2019 on the interception of vehicle Innova Crysta having registration number in the name of the assessee. Apart from that during inquiry it was found that one diary was also found from the possession of the assessee which contained certain incriminating information regarding cash transactions. Thus, this case does not completely fall under the third proviso to Section 153A or Rule 112F and there was no requirement of providing copy of certificate duly signed by the Investigating Officer to the asses....
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....nder section 132A of the Act, a person is found to be in possession of any money, bullion, jewellery or other valuable articles or things, whether or not he is the actual owner of such money, bullion, jewellery, etc.; and (ii) where, such search is conducted or such requisition is made in the territorial area of an assembly or Parliamentary constituency in respect of which a notification has been issued under section 30 read with section 56 of the Representation of the People Act, 1951 (43 of 1951), or where the assets so seized or requisitioned are connected in any manner to the ongoing election in an assembly or Parliamentary constituency: Provided that this rule shall not be applicable to cases where such search under section 132 or such requisition under section 132A has taken place after the hours of poll so notified: Provided further that this rule shall not be applicable to cases where any assessment or reassessment has abated under the second proviso to section 153A and where any assessment or reassessment has abated under section 153C. 14. The aforesaid rule clearly specifies the class or classes of cases wherein ld. AO is not required to issu....
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....come for six assessment years immediately preceding the assessment year relevant to the previous year in which search is conducted or requisition is made. 3. The aforesaid amendment was introduced with a view to reduce infructuous and unnecessary proceedings under the Income Tax Act, 1961 in cases where a search is conducted u/s 132 or requisition made u/s 132A and cash or other assets are seized during the election period, generally on a single warrant, and no evidence is available or investigation required, for any assessment year other than the assessment year relevant to the previous year in which search is conducted or requisition is made 4. In such cases, the officer investigating the case, with the approval of the Director General of Income Tax, shall certify that - (1) the search is conducted under section 132 or the requisition is made under section 132A of the Act in the territorial area of an assembly or parliamentary constituency in respect of which a notification has been issued under section 30. read with section 56 of the Representation of the People Act, 1951, or (ii) the assets seized or requisitioned are connected in any manner ....
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....d notices u/s. 153A for the six earlier assessment years. Accordingly, there was a clear violation of Rule 112F and the procedures laid down by the CBDT vide Circular No.10 of 2012 (supra). Accordingly, the entire proceedings u/s. 153A for the A.Y.2019-20 and 2020-21 is held as bad in law and accordingly, the same is quashed. On this ground alone the assessment order for A.Y.2019-20 and A.Y.2020-21 in invalid and consequently, the additional ground raised by the assessee is allowed. 17. Since we have already quashed the assessments on additional ground No.1, therefore, we are not deciding or adjudicating the additional grounds and the assessee's appeal on merits have become infructuous. 18. In the result, appeal of the assessee is allowed. Order pronounced on 23rd May, 2025. ============= Document 1 à¤à¤¾à¤°à¤¤à¥€à¤¯ गैर नà¥à¤¯à¤¾à¤¯à¤¿à¤• रूपये ARY Rs. 100 ONE S. B. Mustari Gr. MUMBAI State of Maharashtra REGN. NO. 6459 3 OVERNMEN 0 HUNDRED RUPEES सतà¥à¤¯à¤®à¥‡à¤µ जयते à¤à¤¾à¤°à¤¤ INDIA INDIA NON ....