9911796707
TMI Blog2024 (5) TMI 1553X X X X Extracts X X X X X X X X Extracts X X X X ..... s have been preferred against the impugned notices dated 16 March 2023 issued under Section 153C of the Income Tax Act, 1961 ["Act"] for Assessment Years ["AY"] 2018-19 [W.P.(C) 255/2024], 2020-21 [W.P.(C) 258/2024], 2017-18 [W.P.(C) 260/2024], 2016-17 [W.P. (C) 277/2024], 2019-20 [W.P. (C) 278/2024] and all consequential proceedings. 2. Bearing in mind the undisputed fact that the Satisfaction Note dated 23 June 2022 issued by the jurisdictional Assessing Officer ["AO"] of the petitioner relates to incriminating material for AYs' 2014-15 to 2020-21, it is ex facie evident that no incriminating material for the aforenoted AYs' 2016-17, 2017-18, 2018-19, 2019-20, 2020-21 has been found. 3. Undisputedly, the issue now stands answered and co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ice would inevitably be issued the moment a search is undertaken or documents requisitioned, whereas in the case of the latter, the proceedings would be liable to be commenced only upon the AO having formed the opinion that the material gathered is likely to inculpate the assessee. While in the case of a Section 153A assessment, the issue of whether additions are liable to be made based upon the material recovered is an aspect which would merit consideration in the course of the assessment proceedings, under Section 153C, the AO would have to be prima facie satisfied that the documents, data or asset recovered is likely to "have a bearing on the determination of the total income". It is only once an opinion in that regard is formed that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be likely to impact before the initiation of proceedings under Section 153C of the Act. A material, document or asset recovered in the course of a search or on the basis of a requisition made would justify abatement of only those pending assessments or reopening of such concluded assessments to which alone it relates or is likely to have a bearing on the estimation of income. The mere existence of a power to assess or reassess the six AYs' immediately preceding the AY corresponding to the year of search or the "relevant assessment year" would not justify a sweeping or indiscriminate invocation of Section 153C. 68. The jurisdictional AO would have to firstly be satisfied that the material received is likely to have a bearing on or imp ..... X X X X Extracts X X X X X X X X Extracts X X X X
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