The Tax Publishers2020 TaxPub(DT) 2267 (Coch-Trib)

INCOME TAX ACT, 1961

Section 153A

Since assessments were framed by AO on the basis of the incriminated documents found during the search and statement recorded during the course of search there was no error in framing assessments under section 153A and assessee's plea that assessment proceedings should be under survey and not under search, was beyond acceptance.

Search and seizure - Assessment under section 153A - Validity - Assessee pleaded that assessment should be under survey and not under search

Assessee challenged validity of search assessment framed under section 153A on the ground that though representation of the revenue had given a copy of search warrant in Form No. 45 dated 26-2-2016 however, no search was conducted by authorized officer in assessee\s premises but at the same time authorization for survey was given on 26-2-2016 which was carried out on 29-2-2016. Since survey was authorized on the date of search on 26-2-2016 and survey was conducted on 29-2-2016 after omitting the search, assessment proceedings should be under survey and not under search.Held: There was search action under section 132 on business premises of assessee company and residences of its Directors on 29-2-2016 and 21-4-2016 on the basis of search warrant dated 26-2-2016 and 19-4-2016 issued by DIT (Inv.) Kochi and JDIT(Inv.) Kochi respectively. In addition to this there was survey action under section 133A Act on 29-2-2016. Also, copies of Panchnamas were placed on record to prove that search was carried out in the presence of panchas and panchanamas were prepared for search in the case of the assessee-company. As per panchanama, books of accounts marked as CHN/IT/023/15-16/RR/A! to 12 was impounded on 1-3-2016 and books of accounts marked as CHN/IT-CIT/023/CS/A1 to 16 was impounded on 26-4-2016. Accordingly, there was no error in framing assessments under section 153A on the basis of the seized records. Assessments were framed by AO on the basis of the incriminated documents found during the search and statement recorded during the course of search. Being so, AO was completely justified in framing assessments under section 153A.

REFERRED :

FAVOUR : Against the assessee.

A.Y. : 2014-15 to 2016-17

INCOME TAX ACT, 1961

Section 153A

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