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2019 (6) TMI 1429 - AT - Income TaxValidity of issue of notice u/s 153C - HELD THAT:- CIT(A) has called for the remand report and the AO in the remand report submitted that AO of the searched person and that of the assessee are one and the same. Since the search u/s 132 was conducted in the partner’s case i.e. R.Venkatramaiah and the incriminating material was found belonging to the assessee, the proceedings u/s 153C were initiated in the case of the assessee, after duly recording the satisfaction as per the notings recorded on the order sheet of the assessee. The CIT(A) viewed that the AO had initiated proceedings u/s 153C of the Act, after duly recording satisfaction in the case of the assessee and clearly mentioning the seized material hence held that the grounds raised by the assessee with regard to validity of notice u/s 153C are not tenable and accordingly dismissed. The appeal of the assessee on the validity of the issue of notice was dismissed. Non recording the reasons in the case of searched person - As relying on M/S. SHETTYS PHARMACEUTICALS AND BIOLOGICALS LTD. [2014 (12) TMI 1067 - ANDHRA PRADESH HIGH COURT] we hold that the issue of notice u/s 153C without recording the reasons in the case of searched person renders the notice issued u/s 153C as invalid. Accordingly, we quash the notice issued u/s 153C and the cancel the consequent assessment made u/s 143(3) r.w.s. 153C. Since we have quashed the notice issued u/s 153C and cancelled the consequent assessment, we consider it is not necessary to adjudicate the revenue’s appeal which is on quantum of additions and the remaining grounds of appeal raised by the assessee in this appeal. Accordingly, the appeals of the assessee is allowed
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