INCOME TAX ACT, 1961

Section 153A

Search and seizure - Assessment under section 153A - Necessity of incriminating material being found during the course of search -

The issue raised by Revenue before this Court was to whether Tribunal was correct in holding that completed assessment could not be abated unless some incriminating evidence or material was found during search qua the additions made by AO relying on the decision in M/s All Cargo Global Logistics Ltd. (2015) 374 ITR 645 (Bom) : 2015 TaxPub(DT) 2182 (Bom-HC) and yet considered, on merits as well, the issues of interest due from parties, admissibility of Chapter VI-A deduction, charges of realization of non-core assets, etc., thereby handing out a contradictory decision. Held: It was an undisputed position that the issue was covered by judgment of this Court in case of CIT v. Continental Ware-Houisng Corporation (Nhava Sheva) Ltd.(2015) 232 Taxman 270 (Bom) : (2015) 374 ITR 645 (Bom) : 2015 TaxPub(DT) 2182 (Bom-HC). In such judgment the view of High Court was that only undisclosed income and undisclosed assets detected during search could be brought to tax in relation to relevant assessment years for which the notice under section 153A was issued. Therefore, appeal filed by Revenue was dismissed.

Followed:CIT v. Continental Ware-Houisng Corporation (Nhava Sheva) Ltd. (2015) 58 taxmann.com 78 (Bom) : (2015) 232 Taxman 270 (Bom) : (2015) 374 ITR 645 (Bom) : 2015 TaxPub(DT) 2182 (Bom-HC). Relied:M/s All Cargo Global Logistics Ltd. (2015) 374 ITR 645 (Bom) : 2015 TaxPub(DT) 2182 (Bom-HC).

REFERRED :

FAVOUR : Matter remanded

A.Y. :

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