| The Tax Publishers2020 TaxPub(DT) 3444 (Karn-HC) : (2020) 425 ITR 0533 : (2020) 275 TAXMAN 0346 INCOME TAX ACT, 1961
Section 153C read with Section 153A and Section 292B
Where assessee assailed validity of assessment order passed pursuant to search action contending that no search warrant was issued in the name of assessee before issuing notice under section 153A, considering fact that though heading of notice was under section 153A but it was actually issued under section 153C, same was proper and valid, as mere fact that heading of notice indicated that it was issued under section 153A, could not vitiate assessment proceedings.
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Search and seizure - Validity of assessment - No search warrant issued in name of assessee before issuing notice under section 153A - Heading of notice was under section 153A but same was issued under section 153C
Search action under section 132 was conducted in case of certain concern, consequent to same, notice under section 153A was issued to, pursuant to which, assessee filed his return. AO passed assessment order under section 143(3) read with section 153A. Assessee contended that assessment proceedings were to be quashed as void and bad in law, because there was no search warrant issued to assessee under section 132, which is mandatory for issuing notice under section 153A and initiating proceedings to pass the assessment order. Issue for consideration was as to whether assessment made was saved by section 292B, when assessee responded to same by filing return of income. Held: Perusal of notice established that though heading was under section 153A, but competent authority categorically stated in said notice that he proposed to assess assessee's income under section 153C. juxtaposing contents of notice with the satisfaction note, it was clear that notice was not one under section 153A, but one under section 153C. Copy of said notice was received by assessee and he had full knowledge of fact that income-tax was proposed to assessed/reassessed income under section 153C. Thus, assessee could not thereafter be allowed to contend by taking hyper-technical defence to state that notice received was one under nomenclature of section 153A to invalidate entire assessment proceedings. Contention also could not be entertained as provisions of section 153C were specifically mentioned in notice. Notice issued under section 153C was proper and valid and mere fact that the heading indicated that it was issued under section 153A, could not vitiate assessment proceedings.
Followed:Sardar Harvinder Singh Sehgal v. Asst. CIT [(1997) 227 ITR 512 (Gauhati) : 1997 TaxPub(DT) 1252 (Gau-HC)]
REFERRED :
FAVOUR : Against the assessee
A.Y. : 2005-06 to 2007-08
IN THE KARNATAKA HIGH COURT
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