P S ENTERPRISES,GHAZIABAD V. DCIT, CENTRAL CIRCLE, GHAZIABAD

ITA 2916/DEL/2022

AI Insights

The case involves a series of appeals by M/s P. S. Enterprises against the assessments made by the DCIT, Central Circle, Ghaziabad, for the assessment years 2013-14 to 2016-17. The core issue was the validity of the assessments framed under section 143(3) read with section 153A of the Income Tax Act, following a search action on the assessee's premises. The Tribunal examined whether the assessments were justified based on the seized material and the legal precedents applicable. The Tribunal's decision to quash the assessments was primarily based on the lack of any additions made by the lower authorities that were directly linked to the seized material, aligning with the Supreme Court's decision in PCIT vs. Abhisar Buildwell P. Ltd.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 315786 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: F
• Assessment Year: 2015-2016
• Other Referred Cases: PCIT vs. Abhisar Buildwell P. Ltd. (2023) 454 ITR 212 (SC)
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NIMISHA SINGH
• Assessee Lawyers: RAKESH GUPTA; DEEPESH GARG
• Section: 143(3); 153A; 2

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘F’, NEW DELHI Before Sh. Satbeer Singh Godara, Judicial Member & Sh. Naveen Chandra, Accountant Member ITA No. 2914/Del/2022: Asstt. Year : 2013-14 ITA No. 2915/Del/2022 : Asstt. Year : 2014-15 ITA No. 2916/Del/2022 : Asstt. Year : 2015-16 ITA No. 2917/Del/2022 : Asstt. Year : 2016-17 M/s P. S. Enterprises, 267, Loha Mandi, Bulandshahr Road, Ghaziabad-201010 Vs DCIT, Central Circle, Ghaziabad-201002 (APPELLANT) (RESPONDENT) PAN No. AACFP8035G ITA No. 11/Del/2023 : Asstt. Year : 2013-14 ITA No. 12/Del/2023 : Asstt. Year : 2014-15 ITA No. 13/Del/2023 : Asstt. Year : 2015-16 ITA No. 14/Del/2023 : Asstt. Year : 2016-17 DCIT, Central Circle, Ghaziabad-201002 Vs M/s P. S. Enterprises, 267, Loha Mandi, Bulandshahr Road, Ghaziabad-201010 (APPELLANT) (RESPONDENT) PAN No. AACFP8035G Assessee by : Dr. Rakesh Gupta, Adv. & Sh. Deepesh Garg, Adv. Revenue by : Ms. Nimisha Singh, CIT-DR Date of Hearing: 08.05.2025 Date of Pronouncement: 16.05.2025 ORDER Per Bench: The instant batch of eight appeals pertains to the single assessee herein namely, M/s P. S. Enterprises. All other relevant details thereof stand tabulated as under: ITA Nos. 2914 to 2917/Del/2022 ITA Nos. 11 to 14/Del/2023 P. S. Enterprises 2 Sl. No. A.Y. ITA Nos. Appellant Respondent Order passed against Proceedings u/s 1-2 2013-14 2914/Del/2022 P. S. Enterprises DCIT CIT(A), Kanpur-4 DIN & order No. ITBA/APL/M/250/20 22-23 / 1046343707(1) Dated 10.10.2022 143(3)/153A 11/Del/2023 ACIT P. S. Enterprises 3-4 2014-15 2915/Del/2022 P. S. Enterprises DCIT CIT(A), Kanpur-4 DIN & order No. ITBA/APL/M/250/ 2022-23 / 1046343793(1) Dated 10.10.2022 143(3)/153A 12/Del/2023 ACIT P. S. Enterprises 5-6 2015-16 2916/Del/2022 P. S. Enterprises DCIT CIT(A), Kanpur-4 DIN & order No. ITBA/APL/M/250/20 22-23 / 1046343920(1) Dated 10.10.2022 143(3)/153A 13/Del/2023 ACIT P. S. Enterprises 7-8 2016-17 2917/Del/2022 P. S. Enterprises DCIT CIT(A), Kanpur-4 DIN & order No. ITBA/APL/M/250/20 22-23 / 1046347773(1) Dated 10.10.2022 143(3)/153A 14/Del/2023 ACIT P. S. Enterprises 2. Heard both the parties at length. Case files perused. 3. Learned counsel submits at the outset that the assessee’s and Revenue’s four cross appeals each i.e. ITA Nos. 2914 to 2917/Del/2017 and ITA Nos. 11 to 14/Del/2023; for assessment years 2013-14 to 2016-17, respectively, involve the first and foremost issue of validity of all the corresponding assessments dated 29.09.2021 framed u/s 143(3) r.w.s. 153A of the Act arising from the department’s search action dated 30.07.2018 in M/s P. S. Enterprises group of cases. 4. It is in this factual backdrop that the Revenue could hardly dispute the clinching factual position that all the impugned four assessment years 2013-14 to 2016-17, are ITA Nos. 2914 to 2917/Del/2022 ITA Nos. 11 to 14/Del/2023 P. S. Enterprises 3 “unabated” ones wherein no addition at all has been made by the learned lower authorities which is based on the specific seized material in light of PCIT vs. Abhisar Buildwell P. Ltd. (2023) 454 ITR 212 (SC). We thus see merit in the assessee’s instant first and foremost legal argument to quash all these four assessments dated 29.09.2021 in very terms. 5. All other pleadings on merit in these cases stand rendered academic. 6. To sum up, these assessee’s four appeals ITA Nos. 2914 to 2917/Del/2022 are allowed and Revenue’s as many cross appeals ITA Nos. 11 to 14/Del/2023 are dismissed in above terms. A copy of this common order be placed in the respective case files. Order Pronounced in the Open Court on 16/05/2025. Sd/- Sd/- (Naveen Chandra) (Satbeer Singh Godara) Accountant Member Judicial Member Dated: 16/05/20254 *Subodh Kumar, Sr. PS* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR "