Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2018 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (3) TMI 663 - AT - Income TaxRevision u/s 263 - deemed dividend u/s 2 (22)(e) addition - search assessments completed u/s 143(3) r.w.s. 153A - Held that:- As perused the materials available on record and gone through the orders of the authorities below. In this case, the search assessments were completed u/s 143(3) r.w.s. 153A by an order dated 31.3.2005 accepting the income returned. CIT has taken up the case for revision u/s 263 with regard to the advances given by the company to the Directors who are holding substantial share in the companies. The company was having sufficient resources and the issue has to be considered as deemed dividend u/s 2 (22)(e). However, as per the decided case laws, the entries made in the regular books of accounts should not be considered in search assessments unless the assessment is incomplete. It is not permissible to revise the assessment order in the case of search assessments without referring to incriminating material in the case of completed assessments. Accordingly, we set aside the order of the Principal Commissioner of Income Tax and allow the appeals of the assessee.
|