Held that the search team, while accepting the disclosure of income by the assessee, did not counter the reasonableness of the assessee’s holdings of silver items. The search team had considered and accepted the explanation of the assessee, and limited its questions only to the excess over the explained quantity. The Assessing Officer could not have made a separate addition merely based on the facts as they were before the search team. Once the search team had accepted that the silver items were explained, there was no reason for the Assessing Officer and the Commissioner (Appeals) to make and sustain the addition ignoring the primary acceptance by the Revenue at the time of the search. Held that the search was initiated on July 21, 2016. Sections 271AAB and 271AAC deal with penalties where disclosures are made by the assessee in a search. The Assessing Officer had, in passing the assessment order, invoked the provisions of section 271AAB(1)(a) of the Act for undisclosed income unearthed in the course of the search. Section 271AAB of the Act was in operation until the Taxation Laws (Second Amendment) Bill, 2016 ([2016 389 ITR (St.) 14) received the assent of the President on December 15, 2016. The Assessing Officer thus consciously invoked section 271AAB of the Act and not the provisions of section 115BBE of the Act. Once the Assessing Officer had initiated penalty proceedings under section 271AAB of the Act, section 115BBE would not be applicable. The intention of the Legislature was to segregate the taxation of income declared in a search and that of other amounts found and disclosed by the assessee in Cases other than search Cases. The search in this Case was initiated before the Taxation Laws (Second Amendment) Act, 2016 ([2016 389 ITR (St.) 48) received the assent of the President. Once the Assessing Officer had already decided that the Case at hand involved an addition from a search being an amount declared under section 132(4) of the Act, accepted by the Assessee and offered to tax in the return of income filed, the same will be liable to the penal provisions of section 271AAB of the Act. The invocation of the provisions of section 115BBE of the Act is not in accordance with law and is also against the principles of natural justice as no such issue was raised, discussed or confronted to the assessee. The Assessing Officer is directed to give relief accordingly. (AY.2017-18)