DCIT CENTRAL CIRCLE 28 DELHI, DELHI V. MANOJ KUMAR SINGH, DELHI

ITA 5105/DEL/2024

AI Insights

The case involves an appeal by the Revenue against the order of the Commissioner of Income-tax (Appeals)-30, New Delhi, which had favored the Assessee, Manoj Kumar Singh. The core issue was the jurisdiction of the AO to assess the Assessee for the Assessment Year 2011-12 following a search and seizure operation conducted on 14.10.2020. The CIT(A) ruled that the AO could only serve notice under Section 153A of the Act up to AY 2012-13, based on the precedent set by the Hon'ble Delhi High Court in CIT v. Ojjus Medicare (P) Ltd. The Revenue's challenge was primarily based on their disagreement with the application of the Ojjus Medicare judgment, which they had contested in the Supreme Court.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 314412 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-05-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: E
• Assessment Year: 2011-2012
• Other Referred Cases: CIT v. Ojjus Medicare (P) Ltd. 2024 SCC OnLine Del 2439
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SUNIL KUMAR YADAV
• Assessee Lawyers: VIJAY SINGH
• Keywords: Search and seizure
• Section: 153A

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES: E : NEW DELHI BEFORE SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER AND SHRI ANUBHAV SHARMA, JUDICIAL MEMBER ITA No.5105/Del/2024 Assessment Year: 2011-12 DCIT, Central Circle-28, Delhi. Vs Manoj Kumar Singh, S-17, Ground Floor, Panchsheel Park, Panchsheel Enclave, Delhi – 110 017. PAN: AAXPS2824H (Appellant) (Respondent) Assessee by : Shri Vijay Singh, Advocate Revenue by : Shri Sunil Kumar Yadav, CIT-DR Date of Hearing : 21.04.2025 Date of Pronouncement : 07.05.2025 ORDER PER ANUBHAV SHARMA, JM: This appeal is preferred by the Revenue against the order dated 13.08.2024 of the Commissioner of Income-tax (Appeals)-30, New Delhi (hereinafter referred to as the Ld. First Appellate Authority or ‘the Ld. FAA’, for short) in Appeal No.30/10024/2010-11 arising out of the appeal before it against the order dated 30.03.2022 passed u/s 153A/143(3) of the Income Tax Act, 1961 (hereinafter referred as ‘the Act’) by the DCIT, Central Circle-29, New Delhi (hereinafter referred to as the Ld. AO). ITA No.5105/Del/2024 2 2. Heard and perused the record. The Revenue has challenged the impugned order whereby Ld. CIT had allowed the appeal of the Assessee/Respondent holding that the AO did not have jurisdiction to assess the case for AY 2011-12. We find that in the impugned order, the Ld. CIT held that the AO had jurisdiction to serve upon the Assessee notice under Section 153 A of the Act only upto AY 2012-13 on the basis of search and seizure operation conducted on 14.10.2020. Relying on the ratio of the Hon’ble Delhi High Court judgment in CIT v. Ojjus Medicare (P) Ltd. 2024 SCC OnLine Del 2439 and other case. Thus the short question involved in the case is whether assessment order for AY 2011-12 passed pursuant to search conducted on 14.10.2020 is beyond the ten years limit prescribed by the Act, and whether the case of the Assessee is covered by Ojjus Medicare judgment passed by the Hon’ble Delhi High Court. Ld. DR though relied the order of ld. AO however we find that the appeal is preferred only for the reason that Revenue has challenged the Hon’ble Delhi High Court decision in Ojjus Medicare (supra) by way of SLP before Hon’ble Supreme Court, otherwise there is no law to contrary, which ld. CIT(A) failed to apply. 3. The Hon’ble Delhi High Court in paragraph 90 of the Ojjus Medicare judgment has given a table computing the ten assessment years with respect to 10- year block period in accordance with Section 153C read with Section 153 A of the Act. In case of assessee the search was conducted on 14.10.2020. The assessment year of search is AY 2021-22. The end of Assessment year 2021-22 is 31.03.2022. The starting point/computation of ten years has to run backwards from the said date, ITA No.5105/Del/2024 3 i.e. 31.03.2022 (end of the search assessment year). The first year will be the search assessment year itself, i.e., AY 2021-22. The computation of 10 years block period under Section 153 A of the Act in the case of Assessee will begin from AY 2021-22 and will go backward for 10 years as per the following comparative table which is prepared on the basis of the computation of 10 years block period mentioned in Ojjus Medicare judgment (supra). Computation of 10 years block period under Section 153A for the Assessee/Respondent Computation of 10 years block period as given in para 90 of Ojjus Medicare AY 2021-22 1 AY 2022-23 1 AY 2020-21 2 AY 2020-21 2 AY 2019-20 3 AY 2020-21 3 AY 2018-19 4 AY 2019-20 4 AY 2017-18 5 AY 2018-19 5 AY 2016-17 6 AY 2017-18 6 AY 2015-16 7 AY 2016-17 7 AY 2014-15 8 AY 2015-16 8 AY 2013-14 9 AY 2014-15 9 AY 2012-13 10 AY 2013-14 10 4. Thus, the assessment pertaining to AY 2011-12 is beyond the ten years outer ceiling limit prescribed in the Act. The grounds thus raised have no substance. The appeal of Revenue is dismissed. Order pronounced in the open court on 07.05.2025. Sd/- Sd/- (S. RIFAUR RAHMAN) (ANUBHAV SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 07th May, 2025. dk ITA No.5105/Del/2024 4 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asstt. Registrar, ITAT, New Delhi "