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2018 (11) TMI 256 - AT - Income TaxValidity of Assessment u/s 153C - no satisfaction as recorded u/s 153C in the case of the person searched - Held that:- The document referred to in the assessment order and satisfaction note and Order of the A.O. Dated 14.02.2013 rejecting the objections of the assessee, clearly reveals that Faculty Engagement Agreement may not relate to the assessment year under appeal. Therefore, the condition precedent for issuing notice under section 153C are not satisfied in this case because no satisfaction have been recorded under section 153C in the case of the person searched and no incriminating material was seized pertaining to assessment year under appeal. Since the conditions of Section 153C are not satisfied in the present case, therefore, assumption of jurisdiction by the A.O. to issue notice under section 153C is void abinitio and bad in law and vitiate the entire assessment proceedings under section 153C. The decisions relied upon by the Ld. D.R. would not apply to the facts and circumstances of the case. The issue is covered in favour of the assessee in the case of ACIT, Central Circle-9, New Delhi vs. M/s. Victory Accommodations Pvt. Ltd., Delhi (2018 (7) TMI 57 - ITAT DELHI). Set aside the Orders of the authorities below and quash the initiation of re-assessment proceedings under section 153C - Decided against assessee.
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