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2022 (2) TMI 701 - AT - Income TaxAssessment u/s 153A - Undisclosed income on deposits in the foreign bank account - assessment completed in the instant case on the basis of joint locker held by the assessee jointly with her sister - contention of the assessee that no incriminating material was found or seized during the course of search relating to the issue of deposits in the foreign bank account of the appellant resulting in the impugned addition - HELD THAT:- Search warrant issued on the locker so jointly held and consequential proceedings under Section 153A was found to be illegal and consequentially set aside in the case of one of the joint holder, i.e., sister Shah-E-Naaz Judge. The ratio of the decision would naturally apply mutatis mutandis in the case of other holder of the locker namely, the assessee herein where the search warrant on such locker was found to be in violation of Section 132(1) of the Act. The search warrant and consequential assessment u/s.153A in the case of other joint holder thus cannot be seen differently. Hence, on the basis of judgment rendered in the case of Shah E Naaz Judge vs. Additional Director of Income Tax (Inv)-Unit-VI, [2018 (12) TMI 292 - DELHI HIGH COURT] we find merit in the Ground no.1 of the Cross Objection. Consequently, we hold that the search authorization warrant issued u/s.132 of the Act and consequential assessment framed u/s 153A of the Act is arbitrary and devoid of any legal basis and thus wholly unsustainable in law. This being so, the entire assessment order in question requires to be set aside and quashed at the threshold.
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