Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2024 (1) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2024 (1) TMI 1229 - HC - Income TaxAssessment u/s 153A - disallowance of interest u/s. 36(1)(iii) - incriminating material found during the course of search u/s. 132(1) or not? - HELD THAT:- The issues arising in this Appeal is no more res integra in view of the decision of this Court in case of Principal Commissioner of Income Tax-4 v. Saumya Constructions Limited [2016 (7) TMI 911 - GUJARAT HIGH COURT] wherein it is held that there cannot be any addition of regular item shown in the books of accounts until and unless certain materials of incriminating nature found during the course of search. The word “incriminating” has not been defined under the Act where it refers to those documents, materials, information which were collected during the search proceedings and simultaneously these documents had bearing on the total income of the assessee. The Tribunal, in the impugned order, has categorically observed that nothing was brought on record contrary to the findings of the CIT(A) and accordingly, no addition of the regular items which were disclosed by the assessee in the regular books of accounts can be made. Also decided in Abhisar Buildwell P. Ltd. [2023 (4) TMI 1056 - SUPREME COURT] in case no incriminating material is unearthed during the search, the AO cannot assess or reassess taking into consideration the other material in respect of completed assessments/unabated assessments. Meaning thereby, in respect of completed/unabated assessments, no addition can be made by the AO in absence of any incriminating material found during the course of search under Section 132 or requisition under Section 132A - No substantial question of law.
|