TMI Blog2012 (6) TMI 233X X X X Extracts X X X X X X X X Extracts X X X X ..... r Section 158BC is invalid. appeal filed by the Revenue dismissed. - ITA.No. 12 of 2011 - - - Dated:- 5-3-2012 - MR.JUSTICE C.N.RAMACHANDRAN NAIR, MR. JUSTICE BABU MATHEW P.JOSEPH, JJ. For Appellant: SRI.JOSE JOSEPH, SC, FOR INCOME TAX For Respondent: SRI.S.ARUN RAJ J U D G M E N T Ramachandran Nair, J. The short question raised in the appeal filed by the Revenue is whether the Tribunal was justified in holding that in order to transfer a file by an Assessing Officer to another Assessing Officer to assess an assessee based on information gathered in search conducted on the premises of another assessee, the Officer transferring the file should record his satisfaction about the undisclosed income to be assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... celled. It is against this order, the Revenue has filed this Appeal. 4. Since the question to be considered is whether in the absence of satisfaction recorded by the Assessing Officer transferring the file to another Officer under Section 158BD the assessment completed under Section 158BC read with Section 158BD is invalid, we have to necessarily consider the scope of Section 158BD, for which the Section is extracted hereunder:- "158BD. Undisclosed income of any other person Where the Assessing Officer is satisfied that any undisclosed income belongs to any person, other than the person with respect to whom search was made under Section 132 or whose books of account or other documents or any assets were requisitioned under Section 132 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... isitioned under Section 132A is satisfied that the same contains details of undisclosed income of any other assessee over whom such Assessing Officer has no jurisdiction, he has to transfer the recovered materials and evidence and documents to such other Officer having jurisdiction to proceed for assessment of such assessees under Section 158BC. The Department's case is that for transferring the file from one Assessing Officer to another what is required is only primafacie satisfaction about jurisdiction of the Officer to whom file is transferred and there is no requirement to record it in writing. The case of the assessee is that in the absence of satisfaction recorded under Section 158BD by the Assessing Officer transferring the file to t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... searched or whose accounts were called for under Section 132A of the Act. In fact, Section 158BD is only an enabling provision to assess any other assessee other than the searched assessee if in the course of search of another assessee evidence of undisclosed income is received in respect of the assessee who is not searched. However, the assessment pursuant to the enabling provision i.e. under Section 158BD also is an assessment under Section 158BC and the procedure contemplated is also one and the same. In fact, what Section 158BD says is that when the evidence collected in search of an assessee revealed undisclosed income of another assessee, who is not searched, the material or evidence so received can be the basis for making assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X
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