TaxTMI 
TaxTMI 
2025 (12) TMI 19
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.... income at Rs. 6,56,770/-. However, during the course of search conducted on JBM Group on 05.10.2017 wherein jewellery/bullion of 40 kgs of gold were found and revised return, therefore, was filed by the assessee declaring income at Rs. 11,50,56,770/- on 31.03.2019 followed by return under Section 153A dated 12.10.2019 filed by the assessee at income already declared in revised return as aforesaid. In fact, during the course of search of locker No. L-2001 the assessee before us on oath under Section 132(4) of the Act stated that he was an employee of M/s Jay Bharat Maruti Limited and wholly survived on the remuneration received from the company. In response to question No.7 he further stated that he was instructed forcefully to open locker in his name in order to keep the original document of the company and as per such instructions of M/s Surendra Kumar Arya, Smt. Neelam Arya and Sh. Anand Swaroop Khandelwal locker No. L-2001 at U & I Vaults was opened jointly in his name and in the name of Sh. Ram Avtar Aggarwal. He further stated that he used to enter into the locker room and not aware the contents in the locker by Smt. Neelam Arya. In fact, the documents or items whereof belong....
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....me of six assessment years immediately preceding the assessment year relevant to the previous year in which such search is conducted or requisition is made. 8.2 In other words, section 153-A(1) provides that where a person is subjected to a search under section 132 or his books of accounts, etc. are requisitioned under section 132-A after 31-5-2003, the assessing officer is mandated to issue notice to such person to furnish return of income in respect of each assessment year falling within six assessment years immediately preceding the assessment year relevant to the previous year in which search is conducted or requisition is made. Such returns of income shall be treated to be returns of income furnished under section 139. Once returns are furnished, income is to be assessed or re-assessed for the six assessment years immediately preceding the assessment year relevant to the previous year in which such search is conducted or requisition is made. Thus, once section 153-A(1) is invoked, assessment for 6 assessment years immediately preceding the assessment year in which search is conducted or requisition is made becomes open to assessment or re-assessment. 8.3 Two ....
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....ssment year falling within the period of the said six assessment years is pending, the same shall stand abated and the Assessing Authority cannot proceed with such pending assessment after initiation of search under section 132 of the said Act. In the present case, search was conducted on the assessee on 5.10.2017. At that point of time assessment in the case of assessee for the assessment year 2017-18 was pending and thus got abated. It is trite law that once the assessment gets abated, the original return which had been filed loses its originality and the subsequent return filed under section 153A of the said Act (which is in consequence to the search action under section 132) takes the place of the original return. In such a case, the return of income filed under section 153A(1) of the said Act, would be construed to be one filed under section 139(1) of the Act and the provisions of the said Act shall apply to the same accordingly. 8.5 The Honble High Court of Bombay in the case of Principal Commissioner of Income-tax, Central-2 vs JSW Steel Ltd, 422 ITR 71 and the Honble High Court of Delhi in the case of Principal Commissioner of Income-tax-19 vs Neeraj Jinda....
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....udicial pronouncements as quoted supra, I am of the view that the AO has wrongly taken the income of the appellant of Rs. 6,56,770/- as per the Return filed u/s 139 (1) of the Income Tax Act ignoring the income of Rs. 11,50,56,770/- filed in the return of income u/s 153A of the Income Tax Act. The return of income filed under section 153A(1) of the said Act, would be construed to be one filed under section 139(1) of the Act and the provisions of the Act shall apply to the same accordingly. A return filed under Section 153A takes the place of the original return under Section 139, for the purposes of all other provisions of the Act. Accordingly the AO is directed to treat the Return of Income filed by the appellant u/s 153A as original return filed u/s 139(1) for the AY 2017-18 for all other provisions of the Act. In view of the above, the addition made by AO of Rs. 11,44,00,000/- in the order passed u/s 153A is not correct. 9. Now coming to the issue of taxability u/s 115BBE on the additional income of Rs 11,44,00,000/-. It is a matter of fact that during the course of search proceedings, the said bullion of Rs 11,44,00,000/- was found from the locker of the appellant. The....