ACIT, Central Circle-2, Hyderabad V. Smt. K. Priyamvada Reddy, Hyderabad

ITA 690/HYD/2012

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 3054 (ITAT-HYDERABAD)
• Duration Of Justice: 3 year(s) 9 month(s) 6 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-02-2016
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: B
• Next Hearing Date: 10-02-2016
• Assessment Year: 2003-2004
• Appeal Filed On: 04-05-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B KURMI NAIDU
• Keywords: Search and seizure
• Section: 143(3); 132

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES B : HYDERABAD BEFORE SMT. P. MADHAVI DEVI, JUDICIAL MEMBER AND SHRI B. RAMAKOTAIAH, ACCOUNTANT MEMBER ITA.NO. A.Y. APPELLANT RESPONDENT 605/H/2012 2002 - 03 SMT. K. PRIYAMVADA REDDY, HYDERABAD. PAN AGTPK0205A DCIT, CENTRAL CIRCLE-6, HYDERABAD. 606/H/2012 2003 - 04 607/H/2012 2004 - 05 608/H/2012 2005 - 06 609/H/2012 2006 - 07 406/H/2013 2007 - 08 ITA.NO. A.Y. APPELLANT RESPONDENT 689/H/2012 2002 - 03 ACIT, CENTRAL CIRCLE-2, HYDERABAD. SMT. K. PRIYAMVADA REDDY, HYDERABAD. PAN AGTPK0205A 690/H/2012 2003 - 04 691/H/2012 2004 - 05 692/H/2012 2005 - 06 693/H/2012 2006 - 07 347/H/2013 2007 - 08 DCIT, CENTRAL CIRCLE-2, HYDERABAD. FOR ASSESSEE : MR. A. SRINIVAS FOR REVENUE : MR. B. KURMI NAIDU DATE OF HEARING : 1 0 .0 2 .2016 DATE OF PRONOUNCEMENT : 10 .0 2 .2016 ORDER PER BENCH THESE ARE CROSS APPEALS OF BOTH THE ASSESSEE AS WELL AS THE REVENUE FOR THE A.YS. 2002-03 TO 200 7-08. 2. BRIEF FACTS OF THE CASE ARE THAT THERE WAS A SEARCH AND SEIZURE OPERATION UNDER SECTION 132 OF T HE I.T. ACT IN THE GROUP CASES OF JANAPRIYA ON 19.02.2008. CONSEQUENT TO THE SEARCH OPERATIONS, THE ASSESSMENT 2 ITA.NOS.605 TO 609/H/12, 689 TO 693/H/12, 347/H/13 & 406/H/13 SMT. PRIYAMVADA REDDY, HYDERABA D. PROCEEDINGS UNDER SECTION 143(3) READ WITH SECTION 153C OF THE I.T. ACT WERE COMPLETED IN THE CASE OF THE A SSESSEE FOR ALL THE ASSESSMENT YEARS. AGGRIEVED, ASSESSEE P REFERRED APPEALS BEFORE THE LD. CIT(A) WHO PARTLY ALLOWED TH E SAME. AGAINST THE RELIEF GRANTED BY THE LD. CIT(A), THE REVENUE IS IN APPEAL BEFORE US WHILE THE ASSESSEE I S IN APPEAL AGAINST THE ORDER OF THE LD. CIT(A) IN CONFI RMING THE ORDER OF THE A.O. 3. THE ASSESSEE IN HER APPEAL HAS RAISED GROUNDS OF APPEAL AGAINST THE MERITS OF THE ADDITIO NS CONFIRMED BY THE LD. CIT(A) AND HAS ALSO RAISED AN ADDITIONAL GROUND OF APPEAL AGAINST THE VALIDITY OF THE ASSESSMENT ORDER UNDER SECTION 143(3) READ WITH SEC TION 153C OF THE I.T. ACT WHEN THE SATISFACTION BEFORE I NITIATING THE ASSESSMENT PROCEEDINGS UNDER SECTION 153C IS NO T RECORDED. THIS BEING A LEGAL GROUND IS ADMITTED. 4. THE LD. D.R. ALSO FILED A LETTER SEEKING WITHDRAWAL OF THE REVENUES APPEALS IN COMPLIANCE W ITH THE CBDT CIRCULAR 24 DATED 31.12.2015 FOR ALL THE A BOVE ASSESSMENT YEARS STATING THAT THE SATISFACTION NOTE BEFORE INITIATING THE PROCEEDINGS UNDER SECTION 153C OF TH E I.T. ACT, IS NOT AVAILABLE ON RECORD AND FILED A COPY OF THE LETTER OF DY. CIT DATED 27.1.2016 VIDE F.NO.DCIT-2(1)/MISC / 15-16 TO THIS EFFECT. THE REVENUE IS THUS SEEKING WITHDRAWAL OF THE ABOVE APPEALS FOR ALL THE ASSESSM ENT YEARS. 5. THUS, IT IS CLEAR THAT THE A.O. OF THE PERSON SEARCHED HAS NOT RECORDED HIS SATISFACTION THAT THE 3 ITA.NOS.605 TO 609/H/12, 689 TO 693/H/12, 347/H/13 & 406/H/13 SMT. PRIYAMVADA REDDY, HYDERABA D. INCOME FROM THE SEIZED MATERIAL RELATES TO THE ASSE SSEE HEREIN, BEFORE THE A.O. OF THE ASSESSEE ASSUMED JURISDICTION UNDER SECTION 153C OF THE I.T. ACT. IN VIEW OF THE SAME, THE ASSESSMENT ORDERS HAVE NO LEGS TO STA ND. IN THE RESULT, THE ADDITIONAL GROUND OF APPEAL IN ALL THE ASSESSEES APPEALS ARE ADMITTED AND ALLOWED WHILE T HE REVENUE APPEALS ARE ALL DISMISSED AS WITHDRAWN. 6. IN THE RESULT, APPEALS OF THE ASSESSEE ARE ALLOWED AND APPEALS OF THE REVENUE ARE DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 10.02.2016. SD/- SD/- (B. RAMAKOTAIAH) (SMT. P. MADHAVI DEVI) ACCOUNTANT MEMBER JUDICIAL MEMBER HYDERABAD, DATED 10 TH FEBRUARY, 2016 VBP/- COPY TO 1. SMT. K. PRIYAMVADA REDDY, M/S. JANAPRIYA PROPERTEIS (P) LTD., 8-2-120/86, PLOT NO.11 & 12, KEERTHI AND PRIDE TOWERS, ROAD NO.2, BANJARA HILLS, HYDERABAD 34. 2. SMT. K. PRIYAMVADA REDDY, 3 - 6 - 15/A, JANAPRIYA HOUSE, HIMAYATH NAGAR, HYDERABAD. 3 . THE DCIT, CENTRAL CIRCLE - 6, AAYAKAR BHAVAN, HYDERABAD. 4. THE ACIT, CENTRAL CIRCLE - 2, 7 TH FLOOR, AAYAKAR BHAVAN, BASHEERBAGH, OPP. L.B. STADIUM, HYDERABAD. 5 . DCIT, CE NTRAL CIRCLE - 5, 7 TH FLOOR, AAYAKAR BHAVAN, FATEH MAIDAN ROAD, HYDERABAD 500 001. 6 . CIT(A) - VII , HYDERABAD. 7 . CIT - (CENTRAL) , HYDERABAD. 8 . D.R. ITAT B BENCH, HYDERABAD 9 . GUARD FILE