Search and seizure
139. (1) The Competent Investigating Authority may authorise any Authorised Officer to carry out search and seizure operation, if he has, in consequence of information in his possession, reason to believe that -
(a) any person to whom a summon under sub-section (1) of section 138, or a notice under section 151 or section 152 or section 157was issued, has omitted, or failed, to furnish the material as required by such summon or notice;
(b) any person to whom a summon or notice as aforesaid has been or might be issued will not, or would not, produce or cause to be produced, any material which will be useful for, or relevant to, any preceding under the Income-tax Act, 1961, or the Wealth-tax Act, 1957, or under this Code, or
(c) any person is in possession of any material which represents either wholly or partly the tax base or property which has not been, or would not be, disclosed for the purposes of the Income-tax Act, 1961, or the Wealth-tax Act, 1957, or this Code (hereinafter in this section referred to as the undisclosed tax base or property).
(2) The Authorised Officer shall, in pursuance to an authorisation issued under subsection (1), carry out the search and seizure operation and, for this purpose, have all the powers to -
(a) enter and search any building, place, vessel, vehicle or aircraft where the Competent Investigating Authority has reason to suspect that any material, referred to in sub-section (1), are kept;
(b) break open the lock of any door, box, locker, safe, almirah or other receptacle or exercising the powers conferred by clause (a) where the keys thereof are not available;
(c) search any person who has got out of, or is about to get into, or is in, the building, place, vessel, vehicle or aircraft, if the Authorised Officer has reason to suspect that such person has secreted about his person any such material;
(d) require any person who is found to be in possession or control of any type of material, being books of account or other document, maintained in the form of electronic record as defined in clause (i) of sub-section (1) of section 2 of the Information Technology Act, 2000, to afford the Authorised Officer the necessary facility to inspect such material;
(e) seize any such material, not being stock-in-trade, found as a result of such search;
(f) seize any stock in trade of bullion, precious or semi-precious stones or jewellery, found as a result of such search;
(g) place marks of identification on any material, being books of account or other documents, or make or cause to be made extracts or copies therefrom;
(h) make a note or an inventory of any such material.
(3) A Competent Investigating Authority may exercise the powers of search and seizure conferred under sub-section (1), if he exercises jurisdiction over the person referred to in sub-section (1).
(4) However, the Competent Investigating Authority may also exercise the powers of search and seizure conferred under sub-section (1), if -
(a) the building, place, vessel, vehicle or aircraft, referred to in sub-section (2), is located within the area of his jurisdiction regardless of the fact that he does not have jurisdiction over the person referred to in sub-section (1); and
(b) he has reason to believe that any delay in getting the authorisation from the Competent Investigating Authority having jurisdiction over such person may be prejudicial to the interests of the revenue.
(5) The Competent Investigating Authority may issue a consequential authorisation to any Authorised Officer to exercise the powers under sub-section (2) in respect of any building, place, vessel, vehicle or aircraft, if he, in consequence of information in his possession, has reason to suspect that any material in respect of which an authorisation under sub-section (1) has been issued by the same, or any other, Competent Investigating Authority are, or is, kept in any such building, place, vessel, vehicle or aircraft.
(6) The Authorised Officer may requisition the services of any police officer or of any officer of the Central Government, or of both, to assist him for all or any of the purposes specified in sub-section (2) and it shall be the duty of every such officer to comply with such requisition.
(7) The Authorised Officer, if he is satisfied that it is not practicable to seize any material, may serve an order on the owner or the person, who is in immediate possession or control of such material, that he shall not remove, part with or otherwise deal with it except with his previous permission.
(8) The order under sub-section (7) shall remain in force for a period not exceeding two months from the end of the month in which the order was served and the Authorised Officer may take such steps as may be necessary for ensuring compliance with the order.
(9) The Authorised Officer may, during the course of the search or seizure, examine on oath any person who is found to be in possession or control of any material and any statement made by such person during such examination may thereafter be used in evidence in any proceeding under the Income-tax Act, 1961 or the Wealth-tax Act, 1957 or under this Code.
(10) The provisions of the Code of Criminal Procedure, 1973, relating to search and seizure shall apply, so far as may be, to search and seizure operation under this section.
(11) The Board may make rules-
(a) to provide for the procedure to be followed by the authorised officer -
(i) for obtaining ingress into any building, place vessel, vehicle or aircraft to be searched where free ingress thereto is not available;and
(ii) for ensuring safe custody of any material seized;and
(b) any other matter in relation to search and seizure operation under this section.
