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2021 (1) TMI 94 - AT - Income TaxAssessment u/s 153A - Addition u/s 68 - HELD THAT:- Addition in the present case has been made under section 153A on the basis of statements of various parties obtained under survey and search. The addition of unsecured loan has been made on the basis of entries in the regular books of accounts duly reflected in the assessee’s financial accounts. There is no reference to material found in search with reference to the addition made. It is also undisputed that these assessments are unabated. The law for assessment under section 153A in case of unabated assessment has been duly laid down by the Hon’ble Bombay High Court in the case of continental warehousing [2015 (5) TMI 656 - BOMBAY HIGH COURT]. The jurisprudence regarding jurisdictional defect in assessment under section 153A /153C without reference to incriminating seized material has also been expounded by Hon'ble Supreme Court in the case of CIT v/s Singhad technical education Society [2017 (8) TMI 1298 - SUPREME COURT]. The addition made in these assessment orders passed by the assessing officer under section 153A without reference to any incriminating material found search is not sustainable. Hence we set aside the orders of authorities below and direct that the additions made are not sustainable due to the jurisdictional defect. Since we have already held that addition of loan itself is not sustainable the addition of commission is also directed to be deleted as the same is also without reference to any material foundering search. These additions are not sustainable due to jurisdictional defect in as much as they are without reference to any incriminating material found upon search - Decided in favour of assessee.
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