TMI Blog2020 (11) TMI 560X X X X Extracts X X X X X X X X Extracts X X X X ..... by the AO having jurisdiction over such other person. In the instant case, although the Assessing Officer of the searched person and the other person(the assessee) was the same, satisfaction was recorded by the Assessing Officer for invoking the provisions of section 153C of the Act on 21/12/2010, the said date would be deemed to be the date of receiving documents by the Assessing Officer. Thus, the year of search would be FY 2010-11 relevant to AY 2011-12. Since, the Revenue has itself admitted the fact that the year of search would be Financial Year 2010-11 relevant to AY 2011-12, the block period of six years for search assessment u/s.153C of the Act would comprise of assessment years 2005-06 to 2010-11. Under these facts, the assessment for AY 2010-11 being part of block assessment period should have been u/s 153A r.w.s. 153C of the Act. We find merit in the additional ground of appeal raised by the assessee. - ITA NO. 5618/MUM/2016 - - - Dated:- 30-9-2020 - Shri Vikas Awasthy, Judicial Member And Shri Rajesh Kumar, Accountant Member For the Appellant : Shri Vasudev Ginde For the Respondent : Shri Purushottam Tripure ORDER PER VIKAS AWASTHY, JM: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f search. Consequently, the block of six assessment years would be Assessment Year 2005-06 to Assessment Year 2010-11. The ld. Authorized Representative for the assessee pointed that the Tribunal vide order dated 07/4/2017 accepted the arguments of the assessee and restored the issue to Assessing Officer for the limited purpose to verify the facts. The Assessing Officer while giving effect to the order of Tribunal admitted that assessment year 2004-05 does not fall within the block period of six years and the year of search would be FY 2010-11 relevant to AY 2011-12. The ld. Authorized Representative for the assessee furnished the copy of Tribunal order in ITA No. 7309/Mum/2014 and Order Giving Effect for assessment year 2004-05 dated 06/04/2018. The ld. Authorised Representative asserted that in view of the position admitted by the Assessing Officer, the assessment year under appeal i.e. 2010-11 would fall within the block period wherein the assessment should have been made under section 153C of the Act. 2.3. The ld. Authorized Representative for the assessee in support of his contentions has placed reliance on the following decisions:- (1) CIT vs. Jasjit Singh, Income Tax A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as passed u/s 144 r.w.s. 153C on 30/12/2011. The assessee challenged the invoking of section 153C jurisdiction for assessment year 2004-05 before the Tribunal in ITA No.7309/Mum/2014 (supra). After examining the facts, the Tribunal held that assessment year 2004-05 is outside the purview of block assessment period as the documents relatable to the assessee found at the place of searched person were handed over to the Assessing Officer of the assessee in financial year 2010-11 relevant to assessment year 2011-12. If that be so, the Assessing Officer would have no jurisdiction for issuing notice u/s 153A r.w.s. 153C of the Act for AY 2004-05. However, for the limited purpose of verification of facts, the Tribunal restored the issue back to the Assessing Officer. For the sake of completeness relevant extract of the Tribunal order is reproduced herein below:- 6. .............Thus in the backdrop of the aforesaid settled position of law, we are of the considered view that now in the case of the present assessee as the reasons recorded for issue of notice under Section 153C for A.Y. 2004-05 to 2009-10 are dated 21.12.2010, therefore though it can safely be presumed that the A.O of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unal order dated 07/4/2017, wherein the Assessing Officer admitted that assessment year 2004-05 does not fall within the block assessment period as the relevant material was handed over in the period relevant to AY 2011-12. The relevant extract of the order reads as under:- 3. As per the directions given by the Tribunal, the available case records are carefully verified by me to ascertain the exact date of handling over the seized material by the A.O of M/s. Om Sai Motors Pvt. Ltd. To the A.O of the assessee. The A.O of both the assessee being common there seems to be no occasion to physically hand over any seized material to the A.O of the assessee. Perusal of the case records however show that the relevant Satisfaction Note was recorded in case of the assessee on 21/12/2010 and notices u/s 153C based on the same date. It is therefore, safe to presume that the relevant seized material must have been handed over in the Financial Year 2010-11 relevant to A.Y 2011-12. 4. In view of above, and the specific observations made by the Tribunal extract above, the notice issued u/s 153C of I.T. Act, 1961 on 21.12.2010 to the assessee for A.Y 2004-05 is rendered without jurisdic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in terms of section 153C read with 153A and not as a regular assessment under section 143(3). The reason being entire concept of abated; unabated as laid down in 2nd proviso to section 153A(1) and other issue of limitation as contained section 153 B has to be seen with reference to such reference date which has different consequences. Like for instance in section 153 B the period of limitation for completion of regular assessment for the year of search and for the assessment falling in each of the six assessment years are different. Thus, in our humble opinion, assessment for assessment year 2008-09 should have been completed under section 153A read with 153C and not as regular assessment under section 143(3), by treating the A.Y. 2008-09 as year of search. Thus, for the purpose of determining six assessment years prior to the date of search, relevant date for the purpose of invoking provisions of Section 153C of the Act in the case of a person other than the person searched would be the date of recording satisfaction under section 153C of the Act. 11. The Assessing Officer in the impugned assessment year has made assessment under regular provisions. Since, the impugned ass ..... X X X X Extracts X X X X X X X X Extracts X X X X
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