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2019 (7) TMI 1525 - AT - Income TaxProceedings u/s 153C - AO of the person searched not recorded the satisfaction note - HELD THAT:- In the present case there was no satisfaction recorded in the case of the assessee as evident from the order sheet entries - the assessee received the information under RTI that there was no satisfaction recorded by the AO having jurisdiction over the assessee. AO having jurisdiction over the assessee has recorded the satisfaction note dated 31st July 2015. Thus there are contradictory information available on record. Accordingly, a doubt arises about the genuineness of the satisfaction note recorded dated 31st July 2015. However, on perusal of the order sheet entry of the AO having jurisdiction over the assessee, it is revealed that there was no such entry/recording regarding the impugned satisfaction note recorded by the AO. On a question to the Ld. DR, he has not brought anything on record suggesting the genuineness of the satisfaction note recorded by the AO having jurisdiction over the assessee. He simply stated that there can be of technical lapse regarding the date mentioned in the satisfaction note viz a viz reply of the RTI. Be that as it may, there was no evidence suggesting that the AO of Nayan Kothari has recorded any satisfaction note before handing over the requisition material to the AO having jurisdiction over the assessee. From the above, it is concluded that the recording of satisfaction note for invoking the provision of section 153C is a mandatory requirement as it reveals that the AO has applied his mind to reach to the conclusion that the materials belong to the other person. If the AO of the person searched not recorded the satisfaction note, then initiation of proceedings u/s 153C of the Act was not held to be valid. Accordingly, we hold that the assessment framed under section 153C is not sustainable
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