TMI Blog2015 (9) TMI 1459X X X X Extracts X X X X X X X X Extracts X X X X ..... AO is not required to do anything further about such a return. The power given by the first proviso to assess income for six assessment years has to be confined to the undisclosed income unearthed during search and cannot include items which are disclosed in the original assessment proceedings . See Commissioner of Income Tax (Central) -III Versus Kabul Chawla [2015 (9) TMI 80 - DELHI HIGH COURT ]. Thus the addition has been rightly deleted and there is no reason for interference with the order of Ld. CIT(A). - Decided against revenue. - ITA No: 2511/Del/2011 - - - Dated:- 30-9-2015 - SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER AND SHRI SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER. Appellant by : Ms. Nandita Kanchan, CIT DR. Respondent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ave the creditworthiness to make such gifts. The Ld. CIT(A) however deleted the entire addition of ₹ 21 lacs on the ground that a similar addition of ₹ 10 lacs was deleted by him in the case of M/s. K.K. Aggarwal Sons (HUF) for AY 2001-02 wherein the assessee had received a gift of ₹ 10 lacs from Shri Jagdish Mangla. 2. Before us the Ld. AR for the assessee submitted that it is not the case of the Department that the addition of ₹ 21 lacs has been made on account of any incriminating material found during the course of search and seizure proceedings. He drew our attention to pages 278 , 279 and 280 of the paper book filed by him which contain intimation u/s 143(1) of the Act for assessment year 2001-02 in the ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ent relating to the said six assessment years pending on the date of initiation of the search u/s 132 shall abate. It is seen that in assessee s case search action was initiated and assessments u/s 153A were framed for six assessment years making various additions. It is assessee s claim that the addition of ₹ 21 lacs was not tenable as the regular return had been filed where the particulars relating to the addition has been disclosed and the same had been accepted u/s 143 (1) of the Act and that no material has been found during the search to justify the addition. In our considered opinion section 153A does not authorise the making of a denovo assessment in this particular assessment year. While under the first proviso, the AO is emp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act, notice under Section 153 A (1) will have to be mandatorily issued to the person searched requiring him to file returns for six AYs immediately preceding the previous year relevant to the AY in which the search takes place. ii. Assessments and reassessments pending on the date of the search shall abate. The total income for such AYs will have to be computed by the AOs as a fresh exercise. iii. The AO will exercise normal assessment powers in respect of the six years previous to the relevant AY in which the search takes place. The AO has the power to assess and reassess the 'total income' 'of the aforementioned six years in separate assessment orders for each of the six years. In other words there will be only one ..... X X X X Extracts X X X X X X X X Extracts X X X X
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