TaxTMI 
TaxTMI 
2026 (2) TMI 1436
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....Act. C) That Ld CIT-A vide impugned order passed us 250 dated 24.01.2025 erred in not quashing the impugned assessment order passed u/s 153C/143(3) dated 13.02.2024 which is without fulfillment of mandatory jurisdictional pre-conditions stipulated under the 1961 Act. D) That Ld CIT-A vide impugned order passed us 250 dated 24.01.2025 erred in not quashing the impugned assessment order passed u/s 153C/143(3) dated 13.02.2024 which is passed in arbitrary manner, without application of mind and is made in total violation of principle of natural justice. E) That Ld CIT-A vide impugned order passed us 250 dated 24.01.2025 erred in not quashing the impugned assessment order passed u/s 153C/143(3) dated 13.02.2024 which is passed without valid /requisite SCN issued to assessee. F) That Ld CIT-A vide impugned order passed us 250 dated 24.01.2025 erred in not quashing the impugned assessment order passed u/s 153C/143(3) dated 13.02.2024 which is passed without valid/requisite approval u/s 153D of 1961 Act; G) That Ld CIT-A vide impugned order passed us 250 dated 24.01.2025 erred in not deleting the sole sustained addition of Rs 31,79,100 on a/c o....
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....ply to the facts of the asessee's case. 5. Heard rival contentions. In this case a combined and consolidated satisfaction note was recorded by the AO u/s.153C for the A.Ys 2014-15 to 2020-21 which is as under :- Satisfaction note for initiating proceedings under section 153C read with 153A of the Income Tax Act, 1961 in the case of M/s Sarvo Technologies Limited (PAN: AABCS8661D) A search and seizure action u/s 132 and survey u/s 133A of the Income Tax Act, 1961 ("the Act") was initiated in the DNC Group of cases on 01.11.2019. Key persons covered in the search action u/s 132 of the Act were Sh. Manoj Vasudev Pardasany, M/s DNC Infrastructure Private Limited ("DNC"), M/s Annai Infra Developers Limited and Sh. Yogesh Gupta. 2. During the search and survey proceedings, documents (which includes digital data) were found and seized which belongs to/contained information therein that relates to a person (M/s Sarvo Technologies Limited (PAN: AABCS8661D)) who is a person other than the person referred to in section 153A of the Act. 3. Hence, such documents seized which belongs to/contains information that relates to that person (M/s Sarvo Technologie....
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....evant to mention here that investigations were also carried out in the case of DNC by the Hyderabad Zonal Unit of the Directorate General of Goods and Service Tax Intelligence (regarding DNC). The incident report No. 116/2019-20-GST dated 25.10.2019 filed by the Unit revealed that DNC was involved in wrongful claim of Input Tax Credit as it is was without receipt of commensurate material or services. The commensurate material or services. The relevant extract of their incident report is being reproduced below :- In his statement to GST authorities, MD of the M/s. DNC - Sh. Dirishala Naresh Chaudhary had accepted to wrongful availment of ITC and reversed ITC in some cases. The report of the Hyderabad Zonal Unit of the Directorate General of GST Intelligence further concluded that even the payments claimed to be made to suppliers of materials were also found to be bogus along with sub-contractors. No supply of any material had actually taken place by these suppliers. In the wake of this background, the search and survey actions were carried in case of DNC. Also, search & seizure action u/s 132, was conducted at the residence of its Managing Director, Mr. Dirishala N....
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....on note recorded by the AO is a valid satisfaction note for initiation of proceedings u/s.153C of the Act for consideration came up before various courts including the Hon'ble Jurisdictional High court. 7. We observed that the coordinate Bench of the Tribunal in the case of SRS Pancharatan Diamonds (P) Ltd. Vs. DCIT to whom both of us are parties considering the decision of the Hon'ble Delhi High Court in the case of Saksham Commodities Vs. ITO (supra) held that also the decision in the case of Indian National Congress Vs. DCIT (supra) held that in view of the divergent views expressed by the jurisdictional High Court, and following the decision of the Hon'ble Supreme Court in the case of M/s. Vegetables Products reporting in (88 ITR 192) held that a consolidated satisfaction note recorded for several assessment years is bad in law and fatal to assessments. We have followed the decision of the Hon'ble Jurisdictional High court in the case of Saksha Commodities Ltd. reported in (464 ITR 1) and the decision of the Karnataka High Court in the case of Sunil Kumar Sharma (supra) which upheld that recording of consolidated satisfaction note for various assessment years would become to....
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....4,400.00 Cheque/DD 24-1-2019 9,74,400.00 Dr Ca Account 9,74,400.00 ÄŒr 29-Jan-19 By HDFC 50200034376731 Receipt 528 10,84,600.00 Cheque/DD 29-1-2019 10,84,600.00 Dr On Account 10,84,600.00 Cr 20.94,500.00 31,79,100.00 To Closing Balance 10,64,600.00 31,79,100.00 31,79,100.00 Document 2 3. Scrutiny of documents recovered so far from M/s DNC and their GSTR-DA returns revealed that they have received GST invoices worth Rs 293.74 Crores from fictitious firms such as M/s 5 Star Infracon India Pvt Ltd (GSTIN: 36AABCZ0282H1ZB), M/s RSGB Enterprises (GSTIN: 36AAVFR3191A121). M/s Aaria Projects Ltd (GSTIN: 36AADCV7695Q127), M/s Windroot Infrabuild Pvt Ltd (OSTIN: 36AABCU9079KIZO), M/s Caxton Enterprises (GSTIN: 36AALFC2650D1%(), M/s Allways Town Planners Pvt Ltd (GSTIN: 36AAPCAO158F1ZR), M/s Uniview Infracon Private Limited (GSTIN: 36AAWCS6779DIZJ. M/& Groomwell Infrastructure Consulting Private Limited (GSTIN: 336AACON6153CIZQ), M/s Ambient Real Estates Limited (GSTIN: 36AAGCB9805M128) and M/s Suave Corporation India Private Limited (GSTIN: 36AARCS8383A1ZY), who are already under investigation by the DGGI-HZU for issuing invoices without any actual ....