TMI Blog2020 (8) TMI 95X X X X Extracts X X X X X X X X Extracts X X X X ..... ether the proceedings had abated or non-abated and also to determine any incriminating material was found or not. AR before us has pointed out that no incriminating material was found and also that the proceedings are non-abated. In these facts and circumstances, following the dictate of Hon ble Delhi High Court in Kabul Chawla (supra), we hold that no addition u/s 68 of the Act is warranted. - Decided in favour of assessee. - ITA Nos. 1754 And 1755/Del/2017, ITA Nos. 3584 And 3585/Del/2017 - - - Dated:- 31-7-2020 - Ms. Sushma Chowla, VP And Sh. Anil Chaturvedi, AM For the Appellant : Sh. C.S.Aggarwal, Sr.Adv. Sh. Ravi Pratap Mall, Adv. For the Respondent : Ms. Sunita Singh, CIT DR ORDER PER SUSHMA CHOWLA, VP ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to Assessment Years 2010-11 2011-12 respectively read as under:- ITA No. 3584/Del/2017 Assessment Year: 2010-11 1. The order of Ld.CIT(A) is not correct in law and on facts. 2. On the facts and circumstances of the case, the CIT(A) has erred in deleting the addition u/s68 of the Act amounting to ₹ 4,95,00,000/-. 3. On the facts and circumstances of the case, the CIT(A) has erred in relying on the order of Hon ble Delhi High Court in case of Kabul Chawla as Sec. 153A does not restrict the assessment to seized documents. ITA No. 3585/Del/2017 Assessment Year: 2011-12 1. The order of Ld.CIT(A is not correct in law and on facts. 2. On the facts and circumstances of the case, the CIT(A) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... incriminating material was found during the search, there is no merit in the aforesaid addition made in the hands of the assessee as no incriminating material was found in relation to the same. The Revenue is in appeal against the aforesaid findings of the CIT(A). 8. The issue which is raised in the present appeal is against the deletion of addition made u/s 68 of the Act. The Ld. DR for the Revenue placed reliance on the order of the Assessing Officer and pointed out that there is no merit in the observations of the CIT(A). 9. The Ld.AR for the assessee stressed that the limited issue which is raised by the Revenue authorities before the Tribunal is only whether in the absence of any incriminating material, can any addition be made i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... such years were pending on the date of search? 12. So the spirit of the decision of Hon ble Delhi High Court (supra) is to consider the stage of assessment starting from the year of search and six years before it. The Hon ble High Court very categorically observed vide para 37 as under:- 37. On a conspectus of Section 153A(I) of the Act, read with the provisos thereto, and in the light of the law explained in the aforementioned decisions, the legal position that emerges is as under: i. Once a search takes place under Section 132 of the 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 A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vi. Insofar as pending assessments are concerned, the jurisdiction 0 make the original assessment and the assessment under Section 153A merges into one. Only one assessment shall be made separately for each A Y on the basis of the findings of the search am~ any other material existing or brought on the record of the AO. vii. Completed assessments! can be interfered with by the AO while making the assessment under Section 153 A only on the basis of some incriminating material unearthed during the course of search or requisition of documents or undisclosed income or property discovered in the course of search which were not produced or not already disclosed or made known in the course of original assessment. 13. In such a scenario ..... X X X X Extracts X X X X X X X X Extracts X X X X
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