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2018 (2) TMI 1830 - AT - Income TaxReopening of assessment - survey u/s.133A consequent to which the assessee filed a revised return declaring the same amount - assessment u/s 153C - Held that:- The scope of Section 153C and 148 are clear from the bare reading of the two provisions insomuch as Section 153C it starts with ‘Notwithstanding nothing containing in Section 139, 147, 148, 149, 151 and 153’. Thus if there is any contradiction between Sections 153C and 148,in that eventuality, Section 148 shall give way to Section 153C. There is a reason for saying so because if a notice u/s.153C is issued to the third party (assessee), then the AO may assess or reassess the income of the assessee for a period of six years whereas this is not the position in case of Section 148. Further u/s.153C the assessment / reassessment can only be made based on the satisfaction recorded by the AO or the searched person as well as of the third party and further addition can only be made by the AO in respect of the assessment year for which the incriminating documents were found with the search person belonging to the third party. Therefore in our view the finding of the CIT(A) is in accordance with law, as the proceeding should have been initiated under section 153C of the Act, as it were based on material found during the search from the premises of searched person other than assessee and not under section 148 of the Act. In the matter of Gudwill Housing Ltd (2014 (4) TMI 478 - KARNATAKA HIGH COURT) was a decision on Section 158BD under the old Act. There is a significant difference in the construction, language and content of both the provisions i.e Section 158BD under the old Act and section 153C of new Act of 1961. Section 153C of 1961 Act, starts with a non-obstante clause, whereas this non-obstinate provision was not there in Section 158BD. Therefore in our considered opinion the decision relied upon by the Revenue is not applicable to the facts and circumstances of present case. We hold accordingly.
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