Allowing the petition the Court held that since the search was carried out on November 23, 1995 and the proviso to section 113 of the Act, which provides for levy of surcharge, was introduced only with effect from June 1, 2002, the levy of surcharge could not be made applicable retrospectively. No surcharge was payable as a consequence of the block assessment.(AY. 1985-86 to 1996-97)
Karia Erectors Pvt. Ltd. v. UOI (2022) 444 ITR 86/ 287 Taxman 116(Bom.)(HC)
S. 113 : Tax-Block assessment-Search cases-Levy of Surcharge-Amendment by Finance Act, 2002-Amendment not retrospective-Search proceedings initiated in November 1995-Surcharge not Leviable. [S. 132, 245D, Art, 226]