2024 (5) TMI 1617

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....ek Maratha, SSC, with Mr. Parth Semiwal, Mr. Apoorv Agarwal, JSCs, Ms. Nupur Sharma, Mr. Manav Goyal, Mr. Gaurav Singh, Ms. Divya Verma & Mr. Bhanukaran Singh Jodha, Advs. ORDER PER 1. These writ petitions have been preferred against the impugned notices dated 20 February 2023 issued under Section 153C of the Income Tax Act, 1961 ["Act"] for Assessment Years ["AYs"] 2014- 15 [WP(C) 369/2024], 2016-17 [WP(C) 390/2024], 2017-18 [WP(C) 391/2024], 2018-19 [WP(C) 392/2024], 2019-20 [WP(C) 395/2024] and 2020-21 [WP(C) 397/2024] and all consequential proceedings. 2. Bearing in mind the undisputed fact that the Satisfaction Note dated 10 February 2022 issued by the jurisdictional Assessing Officer ["AO"] of the petitioners relate to incrim....

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....that the material received is likely to impact the computation of income for a particular AY or AYs' that may form part of the block of ten AYs'. Abatement would be triggered by the formation of that opinion rather than the other way around. This, in light of the discernibly distinguishable statutory regime underlying Sections 153A and 153C as explained above. While in the case of the former, a notice would inevitably be issued the moment a search is undertaken or documents requisitioned, whereas in the case of the latter, the proceedings would be liable to be commenced only upon the AO having formed the opinion that the material gathered is likely to inculpate the assessee. While in the case of a Section 153A assessment, the issue ....

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.... entity. 66. Therefore, and in our opinion, abatement of the six AYs' or the "relevant assessment year" would follow the formation of that opinion and satisfaction in that respect being reached. 67. On an overall consideration of the aforesaid, we come to the firm conclusion that the "incriminating material" which is spoken of would have to be identified with respect to the AY to which it relates or may be likely to impact before the initiation of proceedings under Section 153C of the Act. A material, document or asset recovered in the course of a search or on the basis of a requisition made would justify abatement of only those pending assessments or reopening of such concluded assessments to which alone it relates or....