TMI Blog2008 (2) TMI 338X X X X Extracts X X X X X X X X Extracts X X X X ..... for the respondent. JUDGMENT The judgment of the court was delivered by MADAN B. LOKUR, J. - The grievance of the Petitioner is with regard to the constitutional validity of Section 153C read with Section 153A of the Income Tax Act, 1961 ("the Act"). 2. According to the Petitioner, both these provisions deserve to be declared unconstitutional and in the alternative they have to be read down suitably. It was not explained to us how and in what manner should the provisions be read down, and the only submissions made were that the provisions were constitutionally invalid. 3. Sections 153A and 153C of the Act read as follows:- "153A. Assessment in case of search or requisition. - Notwithstanding anything contained in sec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... removal of doubts, it is hereby declared that, (i) save as otherwise provided in this section, section 153B and section 153C, all other provisions of this Act shall apply to the assessment made under this section; (ii) in an assessment or reassessment made in respect of an assessment year under this section, the tax shall be chargeable at the rate or rates as applicable to such assessment year. "153C. Assessment of income of any other person. - (1) Notwithstanding anything contained in section 139, section 147, section 148, section 149, section 151 and section 153, where the Assessing Officer is satisfied that any money, bullion, jewellery or other valuable article or thing or books of account or documents seized or requisitioned b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... no notice under sub-section (2) of section 143 has been served and limitation of serving the notice under sub-section (2) of section 143 has expired, or (c) assessment or reassessment, if any, has been made, before the date of receiving the books of account or documents or assets seized or requisitioned by the Assessing Officer having jurisdiction over such other person, such Assessing Officer shall issue the notice and assess or reassess total income of such other person of such assessment year in the manner provided in section 153A." 4. According to learned counsel for the Petitioner, the provisions treat unequal persons as equals. The two different categories of persons are those in respect of whom a search is conducted and books o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iated that essentially both categories of persons are the same in as much as their books of account, assets, documents etc. are seized or requisitioned, though from different locations. Moreover, the seizure or requisition must be of such a character as to persuade the Assessing Officer to even reopen closed assessments. In this sense, there is no hostile discrimination between the two categories of persons. 6. The second submission made by learned counsel is that the principles of natural justice appear to be excluded from the provisions of Section 153C of the Act. We do not agree with learned counsel. It is clearly mentioned in the substantive portion of Section 153C(1) of the Act that the Assessing Officer shall proceed against a per ..... X X X X Extracts X X X X X X X X Extracts X X X X
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