TMI Blog2015 (12) TMI 627X X X X Extracts X X X X X X X X Extracts X X X X ..... other persons in order to seek extension of the time period for completion of the assessment proceedings in terms of Section 153B qua the Respondent Assessees herein. Even assuming that the restraint orders were validly passed, once the search stood concluded on 23rd March 2007 in respect of these Assessees, in the absence of a fresh authorisation for another search, the time period for conclusion of the assessment in terms of clause (i) of the second proviso to Section 153 B (1) of the Act does not get extended only because their names were included in the panchnama drawn up on 15th May 2007. It is possible that their names were included in the said panchnama drawn up on 15th May 2007 in order to avoid the consequence of expiry of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ences of Mr.Sanjay Jain and Mr. Rajeev Jain, Directors of J.H. Finvest Pvt. Ltd. The search apparently continued on 22nd and 23rd March 2007 as well. It appears that during the said search, the jewellery items of Mrs. Neena Jain, wife of Mr.Sanjay Jain were seized on 21st March 2007 and some part of the jewellery was released to her after preparing a valuation report dated 21st March 2007. The learned counsel for the Assessees has placed before the Court a compilation of documents containing, inter alia, the panchnamas drawn up in the course of the search. He states that these documents were part of the record of the case before the ITAT. 4. A perusal of the said documents shows that as far as the panchnama prepared on 23rd March 2007 wa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8 then states that The search commenced on 15/5/07 at ....../pm . The proceedings were closed on 15/5/07 at 6.45 pm as finally concluded . It is not in dispute that the assessment orders pursuant to the said searches were passed on 24/31st December 2009. 6. The first question that arises for consideration was whether in terms of Section 153B, the assessments were completed within the time stipulated therein. The case of the Assessees, which has been accepted by the ITAT in the impugned order, was that the assessment ought to have been completed by 31st December 2008, but was completed on 31st December 2009, i.e., beyond the period of twenty one months from the end of the financial year in which the last authorisation for the search unde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... icular, the ITAT referred to the decision of this Court in V.L.S. Finance Ltd. Vs. CIT 289 ITR 286 (Del) . 8. The ITAT correctly concluded that where there are various authorisations issued and various panchnama prepared, it would be the last panchnama prepared in respect of the last authorisation which would be relevant for computing the limitation period. 9. In the present case, as noted by the ITAT, there is only one authorisation which was issued on 20th March 2007. Although, the ITAT in para 10.5 of the impugned order noted that in the authorization letter dated 20/3/2007, names and address of the assesses in question have not been mentioned but in Panchnama dated 15/5/2007 drawn in pursuance to the executive of the said authori ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed, commenced on 23rd March 2007, when the search finally concluded . 11. Consequently, the impugned order of the ITAT, holding that the assessments in question were barred by limitation, and therefore liable to be quashed, does not call for any interference. 12. The second ground on which the ITAT has invalidated the assessments is that there was no incriminating material found in the course of the search against any of the Respondents/Assessees in these appeals. In this context, reference only need be made to a recent decision of this Court in CIT v. Kabul Chawla (2015) 234 Taxman 300 , which holds that in the absence of any incriminating material found in the course of search the framing of assessment under Section 153A or 153 C o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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