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2022 (9) TMI 191 - Income Tax
Validity of assessment u/s 153C v/s 153A - as submitted that the warrant of authorisation was in the name of the assessee, the premises of the assessee was searched and thus the assessee becomes a person searched and thus the assessment proceedings ought to have been done u/s 153A and AO has completed the assessment u/s 153C of the Act which is not in accordance with law - HELD THAT:- The notices were also issued by the AO and the assessee has participated in the assessment proceedings after the 15th March 2013. Therefore, it cannot be said that the order has been passed after 15th March, 2013. As per ground No.8 the assessee has contested that the seized material has not been provided to the assessee even after making request to the AO but during the course of hearing before us, he could not produce any evidence in this regard so tht it can be justified that the principal of natural justice has not been given and he has also not provided application for seeking copppy of seized documents from the AO. The case law relied on by the ld.AR is not applicable in the present facts of the case. Considering the totality of the facts and circumstances of the case as observed above we reject the legal issue raised by the assessee.
Addition of URD cash purchases during the course of assessment proceedings u/s 153C - From the AO observation of the AO, it has been stated that the details of the URD vendors of Iron Ore was not submitted before the AO and even it was not submitted before us. Considering the totality of facts and circumstances of the case for substantiating the URD purchase made by the assessee, we think it fit to send back the issue to the file of the AO for verifying from the list of the URD vendors as stated before the AO and AO shall decide the issue in accordance with law. The assessee shall be given reasonable opportunity of being heard and he is directed not to seek adjournment for early disposal of the case.
Unexplained source of deposit - We observe that the assessee has deposited cash of Rs.22.00/- lakhs on 29/3/2010 in Axis bank account. Since we are remitting the issues for the assessment years 2008-09 and 2009-10 to the file of the AO, we remit this issue also to the file of AO for fresh examination of the source of cash deposits of Rs.22.00 Lakhs. The Assessing Officer is directed to decide the issue as per law. The assessee shall be given reasonable opportunity of being heard and he is directed not to seek unnecessarily adjournment for early disposal of the case. A copy of this common order to be placed in the respective case files.
Appeals of the assessee are allowed for statistical purposes