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2015 (5) TMI 1051 - AT - Income TaxAddition u/s 153A - Held that:- Under new section 153A in a case where search is initiated u/s 132, the A.O. is obliged to call upon searched persons to furnish return for 6 assessment years immediately preceding the Assessment Year relevant to previous year in which search was conducted. Another feature of this section is that the A.O. is empowered to initiate the reassessment of total income of aforesaid years. This is a departure from earlier block assessment scheme in which block assessment roped in only the undisclosed income and the regular assessment proceedings were preserved resulting into multiple assessments. The argument of Ld. A.R. that addition made u/s 153A on same set of facts and circumstances amount to change of opinion does not hold any force. The object of section 153A is to assess total income including the declared income as well as undeclared income unearthed during search. Therefore from the above, it follows that if during search proceedings, the search team finds some undisclosed income, then A.O. is bound to include this income in the assessment u/s 153A irrespective of the fact that earlier in proceedings u/s 143(3), the same was not considered. - Decided against assessee. Addition made in the absence of such incriminating material - Held that:- There are different views of different high courts in this respect and in such a situation; the view favourable to the assessee is to be followed. In the absence of incriminating documents, no addition can be made. - Decided in favour of assessee.
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