TaxTMI 
TaxTMI 
2026 (9) TMI 1703
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....n 153C r.w.s. 143(3) of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') by the DCIT, Central Circle-14, New Delhi (hereinafter referred to as the 'AO') pertaining to Assessment Year (A.Y.) 2016-17. 2. The Assessee has raised the following grounds of appeal: "1. That having regard to the facts and circumstances of the case, Ld. CIT(A) has erred in law and on facts in confirming the action of Ld. AO in passing the impugned assessment order u/s 153C/143(3) and that too without assuming jurisdiction as per law and without recording mandatory 'satisfaction' in accordance with law and without complying/following with the other mandatory conditions/procedure as laid down u/s 153C in accordance with law. ....
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....d to the facts and circumstances of the case, Ld. CIT(A) has erred in law and on facts in not quashing the impugned assessment order passed by Ld. AO as the same was passed without there being requisite approval in terms of section 153D and in any case approval, if any, is mechanical without application of mind and is no approval in the eyes of law. 6. That having regard to the facts and circumstances of the case, the assumption of jurisdiction for passing of the impugned assessment order u/s 153C/143(3) dated 27- 12-2022 is illegal, bad in law, inter alia for the reason that the approval u/s 153D has been issued without DIN number as is must as held in the judgements of CIT (International Taxation) vs. Brandix Mauritius Holdings L....
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....n the same, the AO of the assessee recorded his satisfaction u/s 153C on 6.10.2021 and issued a notice on 9.10.2021 requiring the assessee to file his return of income. In response to the notice u/s 153C, the assessee filed his return declaring income of Rs. 6,98,58,930/- on 7.11.2021. During the course of assessment proceedings, on the basis of incriminating information and documents found during the course of search, the AO held that the assessee was taking accommodation entries through entities controlled by Sh. Puneet Kulthia and accordingly, made on addition of Rs. 3,25,00,000/- on account of unexplained money u/s 69A of the Act. 3.1 Aggrieved, the assessee's legal heir, Sh. Nishant Aggarwal preferred an appeal before the CIT(....
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....erein it has been held that proceedings undertaken in such cases after 1.4.2021 u/s 153C were invalid and only proceedings u/s 148 could be initiated after this date. 4.2 Ld. AR has also placed on record, several decisions of the coordinate benches in which the proceedings u/s 153C have been quashed under similar facts and circumstances, relying on the above decisions. 5. On the other hand, Ld. DR has placed reliance on the order of the lower authorities. 6. We have heard the rival submissions and perused the material available on record. Admittedly, the notice u/s 153C dated 9.10.2021 was issued after recording satisfaction which was based on the satisfaction recorded by the AO of the searched person on 17.09.2021 and on this date....