INCOME TAX ACT, 1961

Section 153A

Search and seizure - Assessment under section 153A - Proof of seized material found during course of search -

A search and seizure action under section 132(1) was conducted and accordingly proceedings under section 153A was initiated. Admittedly, the additions made by AO were not based on any incriminating or seized material found during the course of search. CIT(A) had dismissed the said plea of assessee following decision of High Court in the case of CIT v. Anil Kumar Bhatia (2013) 352 ITR 433 (Del-HC) : 2013 TaxPub(DT) 245 (Del-HC). However, this Tribunal in assessee's appeals for the same assessment year had held that none of additions made by AO were based on seized material and have allowed the grounds raised by assessee. Held: In view of findings and observation of Tribunal, the grounds raised by revenue were dismissed as infructuous, because additions challenged by revenue were not based on any seized material found during the course of search. Accordingly, Revenue's appeal was dismissed.

Followed:CIT v. Sinhgad Technical Education Society Civil Appeal No.11081/2017 order dt. 29-8-2017 : 2017 TaxPub(DT) 3941 (SC), Pr. CIT v. Meeta Gutgutia Prop. M/s. Ferns 'N' Petals (2017) 395 ITR 526 (Del-Trib) : 2017 TaxPub(DT) 1767 (Del-HC), CIT v. Kabul Chawla 388 ITR 573 (Del-HC) : 2015 TaxPub(DT) 3486 (Del-HC)/i> and CIT v. Anil Kumar Bhatia (2013) 352 ITR 433 (Del) : 2013 TaxPub(DT) 245 (Del-HC).