Shri.T.Raghavendra Gowda, Bangalore V. Deputy Commissioner of Income-Tax, Bangalore

ITA 2220/BANG/2016

• Counselvise Citation: [2016] 133 COUNSELVISE.COM (IT) 8564 (ITAT-BANGALORE)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-03-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 16-03-2017
• Assessment Year: 2009-2010
• Appeal Filed On: 16-12-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: PREETHI PATEL
• Keywords: Assessment record
• Section: 153A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, SMC BENCH A, BANGALORE BEFORE SHRI AK GARODIA, ACCOUNTANT MEMBER & ITA NO.2220/BA NG/2016 (ASST. YEAR 2009-10) SHRI T RAGHAVENDRA GOWDA, NO.65, AYAPPA NILAYA, VANIVILAS ROAD, BASAVANAGUDI, BENGALURU. . APPELLANT PAN NO. ABEPR3827R. VS. THE DY. COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE-1(3), BANGALORE. RESPONDENT APPELLANT BY : MS. PREETHI PATEL, ADVOCATE RESPONDENT BY : SHRI A.R.V SREENIVASAN, JCIT DATE OF HEARING : 16-3-2017 DATE OF PRONOUNCEMENT : 21-3-2017 O R D E R PER SHRI AK GARODIA, ACCOUNTANT MEMBER : THIS APPEAL IS FILED BY THE ASSESSEE WHICH IS DIRE CTED AGAINST THE ORDER OF LEARNED COMMISSIONER OF INCOME-TAX (AP PEALS) 11, BANGALORE DATED 30.9.2016 FOR ASSESSMENT YEAR 200 9-10. 2. GROUND NOS.1 TO 4 RAISED BY THE ASSESSEE ARE AS UNDER: ITA NO.2220/B/16 2 3. IT WAS SUBMITTED BY LD AR OF THE ASSESSEE THAT A S PER THE PROVISIONS OF SECTION 153C OF THE INCOME-TAX ACT, T HE AO OF THE SEARCHED PERSON HAS TO RECORD SATISFACTION THAT VAL UABLES OR BOOKS OF ACCOUNT AND DOCUMENTS ETC. SEIZED BELONGS TO OR RE LATES TO A PERSON OTHER THAN SEARCHED PERSON THEN HE CAN HAND OVER TH E DOCUMENTS AND VALUABLES TO THE AO OF SUCH OTHER PERSON TO PROCEED AGAINST SUCH OTHER PERSON BY WAY OF ISSUING NOTICE U/S 153A OF THE INC OME-TAX ACT. HE FURTHER SUBMITTED THAT IN THE IMPUGNED ORDER IN PAR A NO.10.2 OF HIS ORDER, IT IS STATED BY LD CIT(A) THAT IN THE ASSESS MENT ORDER, THE AO HAS REPRODUCED THE SATISFACTION NOTE IN THE ORDER ITSEL F. HE HAS DRAWN OUR ITA NO.2220/B/16 3 ATTENTION TO THE ASSESSMENT ORDER AND SUBMITTED THA T NO SATISFACTION NOTE HAS BEEN REPRODUCED BY THE AO IN THE ASSESSMENT ORD ER. 4. AT THIS JUNCTURE, LD DR OF THE REVENUE SUBMITTED THAT ASSESSMENT RECORDS ARE AVAILABLE WITH HIM WHICH CON TAIN SATISFACTION NOTE. BENCH ENQUIRED AS TO WHETHER THIS SATISFACTI ON NOTE IS OF THE AO OF THE ASSESSEE OR OF THE A.O. OF THE SEARCHED PERS ON. IN REPLY, IT WAS SUBMITTED BY THE DR OF THE REVENUE THAT THE NOTE AV AILABLE IS OF THE A.O. OF THE ASSESSEE AND ABOUT THE SATISFACTION NO TE RECORDED BY THE AO THAT THE SEARCHED PERSON, HE IS NOT AWARE AND FOR THAT, THE MATTER MAY BE RESTORED BACK TO THE FILE OF A.O. OR CIT (A) FOR A FRESH DECISION AFTER EXAMINATION OF THIS ASPECT. 5. I CONSIDERED THE RIVAL SUBMISSIONS. IN MY CONSI DERED OPINION, AS PER REQUIREMENT OF SEC. 153C OF THE INCOME-TAX A CT, AO OF THE SEARCHED PERSON HAS TO RECORD REQUISITE SATISFACTIO N BUT IN THE PRESENT CASE, IT IS NOT CLEAR AS TO WHETHER SUCH SATISFACTI ON HAS BEEN RECORDED BY THE AO OF THE SEARCHED PERSON OR NOT. HENCE, I FEE L IT PROPER THAT THIS MATTER SHOULD GO BACK TO THE FILE OF LD CIT(A) FOR FRESH DECISION AFTER EXAMINATION OF THIS ASPECT. ACCORDINGLY, I SET ASID E THE ORDER OF THE CIT (A) AND RESTORE THE ENTIRE MATTER BACK TO THE FILE OF CIT(A) TO FIRST EXAMINE THIS ASPECT AS TO WHETHER REQUISITE SATISFA CTION WAS RECORDED BY THE AO OF THE SEARCHED PERSON OR NOT AND AFTER THAT , HE SHOULD DECIDE ITA NO.2220/B/16 4 THE VALIDITY OF THE PROCEEDINGS INITIATED U/S 153A R.W.S 153C OF THE INCOME-TAX ACT. IF IT IS FOUND THAT REQUISITE SATI SFACTION WAS RECORDED BY THE AO OF THE SEARCHED PERSON, HE SHOULD DECIDE AFRESH MERIT OF VARIOUS ADDITIONS MADE BY THE AO AND IF IT IS FOUND THAT NO SUCH SATISFACTION WAS RECORDED BY THE AO OF THE SEARCHED PERSON THEN THE ENTIRE PROCEEDINGS ITSELF WILL BECOME BAD IN LAW AN D NO FRESH ADJUDICATION IS CALLED FOR. I AM NOT REQUIRED TO EX AMINE AND DECIDE THE MERIT OF VARIOUS ADDITIONS AT THIS STAGE. 6. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOW ED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 21 ST MARCH, 2017. SD/- (AK GA RODIA) ACCOUNTANT ME MBER VMS. BANGALORE DATED : /03/2017 COPY TO : 1. THE ASSESSEE 2. THE REVENUE 3.THE CIT CONCERNED. 4.THE CIT(A) CONCERNED. 5.DR 6.GF BY ORDER ASST. REGISTRAR, ITAT, BANGALORE.