Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (1) TMI 1133 - AT - Income TaxRectification of the order u/s 254 - Assessment u/s 153C - satisfaction note need exhibiting fact that during the course of search certain documents belonged to other persons were found and perusal of these documents would indicate that taxable income of the assessee has escaped assessment - HELD THAT:- For taking cognizance under section 153C it is mandatory that the AO of the searched person should record a satisfaction note exhibiting fact that during the course of search certain documents belonged to other persons were found and perusal of these documents would indicate that taxable income of the assessee has escaped assessment. After this satisfaction note, he would transmit record along with these documents to the AO who has jurisdiction over such other persons. In the present case, no satisfaction was recorded by the AO of the searched person. It is mandatory to record satisfaction by the AO of the searched person before transmitting record to the AO of other persons to whom documents were found during the course of search; circumstances at which this satisfaction could be recorded has also been contemplated by the Hon’ble Supreme Court. We allow these Misc. Applications, and recall the impugned order of the Tribunal. We direct the Registry to re-fix the appeals on 2.3.2020 for hearing afresh. Issue notice to both parties.
|