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2023 (3) TMI 511 - AT - Income TaxValidity of initiation of proceedings u/s 153C - assessment u/s 153C or u/s 153A - document seized in premises of third party - HELD THAT:- We fail to understand how the document seized in the premises of Mahaveer Medicare and how same pertains to the assessee. It is not disputed by the parties that Annexure A is nothing but narration of what had happened in premises of assessee during the course of search As admittedly there is warrant of authorisation to conduct search in the premises of the assessee and the cash was found in the premises of the assessee. The impugned addition in the case of the assessee is made on the basis of cash found and statement recorded from the assessee during the course of search in his residential premises. Therefore, the assessment in our view ought to have been completed under Section 153A r.w.s. 143(3) of the Act and not under Section 153C of the Act. We are also unable to appreciate the contention of the learned D.R. that both Sections 153A & 153C are mentioned in the order and therefore there is no infirmity. From the notices issued and satisfaction recorded it is clear that the AO has completed the assessment under Section 153C and not under Section 153A of the Act. Since the assessment has been completed under Section 153C of the Act, we are of the view that the assessment framed suffers from infirmity and it is an incurable defect. Hence, we quash the impugned assessment order. Decided in favour of assessee.
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