2025 (5) TMI 2170

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....come for AY 2016-17 on 30.07.2016, declaring an income of Rs.9,91,200/-. On 14.10.2020, a search was conducted under Section 132 of the Act in the case of Sh. Manoj Kumar Singh, his associates, and various transacting parties, which also covered the premises and locker of the petitioner. 3. It is the petitioner's contention that no incriminating material pertaining to the searched persons was found during the said search. Accordingly, any proceedings ought not to have been initiated under Section 153A of the Act; however, contrary to the statutory mandate, the respondent issued a notice under Section 148 of the Act on 30.03.2021. 4. Subsequently, proceedings under Section 153A of the Act were initiated against the petitioner by issuan....

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.... no direction from the Supreme Court to reopen the case, citing the rejection of such a prayer by the Revenue in the PCIT v. Abhisar Buildwell Pvt. Ltd. (supra). 8. On 30.08.2024, the Respondent, arbitrarily rejected the petitioner's reply, and passed an order under Section 148A(d) of the Act, deeming the case fit for reopening and further issued a notice under Section 148 of the Act, asserting that the proceedings were within the limitation period by virtue of Section 150 of the Act. 9. The impugned notice is clearly beyond the period as stipulated under Section 149(1) of the Act. However, it is the Revenue's case that the impugned notice has been issued within the stipulated time by virtue of the non-obstante clause under Section 15....

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....upreme Court observed that in cases where a search does not result in any incriminating material being found, the only remedy that would be available to the Revenue would be to resort to reassessment. 39. However, the Supreme Court caveated that observation by observing that the initiation of reassessment would be ".....subject to fulfilment of the conditions mentioned in Sections 147/148, as in such a situation, the Revenue cannot be left with no remedy". This sentiment came to be reiterated with the Supreme Court observing that the power of the Revenue to initiate reassessment must be saved failing which it would be left with no remedy. It was thereafter observed in paragraph 36.4 of the report that insofar as completed or unabat....