2025 (11) TMI 233

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....r. Ghunaim Siddiqui, Mr. Pratham Agarwal, Advocates. For the Respondent Through: Mr. Vipul Agrawal Sr. SC, Ms. Sakshi Shairwal, Mr. Akshat Singh Jr. SCs, Mr. Gaoraang Ranajn and Ms. Harshita Kotru, Advocates. V. KAMESWAR RAO, J. (ORAL) 1. These writ petitions involve identical issues with regard to the reassessment proceedings under Section 153C of the Income Tax Act, 1961 (the Act). The challenge primarily is recorded in the order dated 20.09.2024 which we reproduce as under: "1. Notice. Since the respondents are duly represented by learned counsel Mr. Agarwal, let a reply be filed within a period of six weeks from today. The petitioner shall have two weeks therefrom to file a rejoinder affidavit. 2. We take note....

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....uld have at best extended up to AY 2016-17 as per the table reproduced below. Computation of the ten-year block period as provided under Section 153C read with Section 153A of the Act No. of years AY 2025-26 1 AY 2024-25 2 AY 2023-24 3 AY 2022-23 4 AY 2021-22 5 AY 2020-21 6 AY 2019-20 7 AY 2018-19 8 AY 2017-18 9 AY 2016-17 10 Matter requires consideration. 4. We, accordingly, and till the next date of listing, restrain the respondents from taking further steps pursuant to the impugned notice dated 12 September 2024. 5. List again on 24.01.2025." 2. Mr. Vipul Agrawal, learned Senior Standing Counsel contends that the Revenue has no cavil with the tabular s....

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....y the AO of the non-searched person and in the case of non- availability of such a note, the date of issuance of the Section 153C notices which would be pertinent for the purposes of the First Proviso to Section 153C. 87. Assuming, therefore, that the handover of material gathered in the course of the search and pertaining to the non-searched person occurred between 01 April 2021 to 31 March 2022, the same would essentially constitute FY 2021-2022 as being the previous year of search for the purposes of the non-searched entity. As a necessary corollary, the relevant AY would become AY 2022-2023. AY 2022-2023 would thus constitute the starting point for the purposes of identifying the six years which are spoken of in Section 153C. T....

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....uld be as follows :- Computation of the six-year block period as provided under Section 153C of the Act No. of years AY 2021-2022 1 AY 2020-2021 2 AY 2019-2020 3 AY 2018-2019 4 AY 2017-2018 5 AY 2016-2017 6 89. That takes us then to the issue of identifying the "relevant assessment year" for the purposes of computing the ten year block. Explanation 1 to Section 153A specifies the manner in which the entire ten AY period is to be computed. While the computation of six AYs' follows the position as enunciated and identified above, Explanation 1 prescribes that the ten AYs' would have to be computed from the end of the AY relevant to the FY in which the search was conducted or requisiti....