The assessee filed writ petition for the quashing of notices issued under section 153C for the assessment years 2014-15 to 2020-21,on the ground that the proceedings were illegal and without jurisdiction. It contended that the satisfaction note revealed that the incriminating material pertained only to the assessment year 2019-20, yet the action under section 153C encompassed assessment years 2014-15 to 2020-21. Allowing the petition the Court held that the satisfaction note pertained to non-searched entity, and material which was alluded to pertained to assessment year 2019-20 only. Accordingly the action under section 153C, pertaining to AYs 2014-15, 2015-16, 2016-17, 2017-18, 2018-19 and 2020-21 were quashed and set aside.However, insofar as Assessment Year 2019-20 was concerned, same was left untouched and all rights and contentions of respective parties were kept open to be addressed in ongoing assessment proceedings for Assessment Year 2019-20. SLP of Revenue is dismissed. (AY. 2014-15, 2015-16, 2016-17, 2017-18, 2018-19 and 2020-21)
Dev Technofab Ltd. v. DCIT, [2024]301 Taxman 72 (SC) Editorial : Dev Technofab Ltd. v. DCIT, [2024] 166 taxmann.com 514(Delhi)(HC)
S. 153C : Assessment-Income of any other person-Search and seizure-Satisfaction note pertained to non-searched entity and material which was alluded to pertained to assessment year 2019-20 only-Notice pertaining to AYs 2014-15, 2015-16, 2016-17, 2017-18, 2018-19 and 2020-21 is quashed and set aside by High Court-SLP of Revenue is dismissed.[S. 132, Art.136]