TMI Blog2016 (2) TMI 1328X X X X Extracts X X X X X X X X Extracts X X X X ..... - Decided in favour of assessee. - ITA No. 278 & 279/Rjt/2015 - - - Dated:- 10-2-2016 - Shri Pramod Kumar, Accountant Member And Shri S.S. Godara, Judicial Member For the Revenue : Shri Yogesh Pandey, D.R. For the Assessee : Shri Harish. Ranpura, A.R. ORDER PER : S. S. GODARA, JUDICIAL MEMBER :- These two assessee s appeals for A.Y. 2006-07 to 2007-08, arise from order of the CIT(A)-11, Ahmedabad dated 25-03-2015 in appeal nos. CIT(A)-11/632-R 633-R/CC.1/2014-15, in proceedings under section 153A r.w.s. 43(3) of the Income Tax Act, 1961; in short the Act . 2. A combined perusal of these two case files reveals that former appeal ITA No. 278/Rjt/2015 raises four substantive grounds inter al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... returned. The Assessing Officer thereafter completed search assessment on 28-08-2014 inter alia making above stated three disallowances on merits. 4. The assessee preferred appeal. He inter alia argued that the Assessing Officer had already completed a regular assessment and no proceedings were pending as on the date of search. His case was that the search in question also did not lead to seizure of any incriminating material. The assessee accordingly posed challenge to legality of section 153A proceedings. The CIT(A) has rejected this legal ground by holding that this statutory provision is to be invoked qua six preceding assessment years to the date of search. This leaves the assessee aggrieved. 5. We have heard both the parti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -09-2007 turning out to be much before the impugned search dated 08-09-2011. The assessee accordingly prays for acceptance of the instant appeal on this legal aspect. 6. The Revenue strongly supports the CIT(A) order and prays for upholding the same. It quotes case law of CIT vs. Rajkumar Arora (2014) 367 ITR 517 (Allahabad) to the effect that even if the Assessing officer completes a summary on regular assessment that itself come in the way of reopening and reassessment of total income in view of undisclosed income found in the course of search and seizure operation. And that section 153A in the nature of non obstante clause removes all fetters imposed upon the /Assessing Officer u/s. 147/148. Next decision is (2012) 346 ITR 106 ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wrongly initiated section 153A proceedings in absence of any such incriminating evidence. We accept assessee s argument accordingly. The impugned search assessment itself stands quashed. This renders assessee s other grounds as having become infructuous. We draw support from the above extracted co-ordinate bench decision in absence of any distinction on facts and law to hold that initiation of section 153A proceedings in absence of any incriminating evidence is not sustainable. The same is accordingly quashed. We adopt the same reasoning to accept corresponding legal argument in the latter assessment year. Our this legal adjudication in assessee s favour renders his other substantive grounds raised in the two appeals to have become ..... X X X X Extracts X X X X X X X X Extracts X X X X
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