M/s.KSJ Infrastructure Pvt. Ltd. v. The DCIT

Parties Involved

Facts Summary

The case involves an appeal by M/s.KSJ Infrastructure Pvt. Ltd. against the order of the Commissioner of Income Tax (Appeals) for the Assessment Years 2012-13 and 2013-14. A search was conducted on Jain Metal Group on 25-02-2020, and certain documents were seized. The Assessing Officer (AO) issued notices under Section 153C of the Income Tax Act for the Assessment Years 2012-13 and 2013-14, claiming that income represented in the form of assets had escaped assessment. The appellant challenged the validity of these notices and the subsequent assessment orders. The appellant argued that the AO did not have the necessary incriminating material to justify the reopening of assessments for these years. The AO had issued notices based on regular books of accounts and bank ledgers, which were not found to be incriminating. The tribunal held that the AO had no jurisdiction to issue notices for these years as there was no undisclosed asset found in the seized material.…

Legal Issues

• 1. Whether the AO had jurisdiction to issue notices under Section 153C for the Assessment Years 2012-13 and 2013-14.
• 2. Whether the additions made under Section 69 of the Act were based on incriminating material found during the search.

Precedents Relied Upon

Similar Judgements

• DCIT, CC-30, New Delhi vs. Chattar Singh

  Delhi Bench benchAY 2012-13 & 2013-14Dismissed

• ITA No. 1061/DEL/2026

• Dy. Commissioner of Income Tax, Central Circle 4(3) vs. Rajesh Auto Merchandise Private Limited

  Kolkata benchAY 2013-14Dismissed

• ITA Nos.3367 to 3370/Del/2024 & 3380 to 3381/Del/2024

  Delhi Bench 'E', New Delhi benchAY 2013-14 to 2015-16 and 2019-20Allowed

• M/s. Cindrella Polymers Pvt. Ltd. Vs. DCIT

  Delhi bench

• Asst. Commissioner of Income Tax, Central Circle, Sambalpur Vs. Rajendra Prasad Gupta

  Cuttack bench