Naval Kishore vs. DCIT

Parties Involved

Facts Summary

The case involves a search and seizure operation under section 132(1) of the Income Tax Act, 1961, carried out on 30.06.2016 at the premises of Bajaj Group, Kota, to which the assessee, Naval Kishore, belongs. Cash, jewellery, and documents were seized from some persons' residences and business premises. The assessee filed a return of income under section 153A of the Act on 07.04.2017, declaring a total income of Rs. 85,320/-. Earlier, the assessee had filed a return of income under section 139 of the Act on 31.03.2016, declaring a total income of Rs. 7,40,320/-. The difference in income of Rs. 6,55,000/- was added to the assessee's total income. The assessee is an individual and derives income from business and other sources. The assessee challenged the assessment order passed by the DCIT, Central Circle-Kota on 18.12.2018. The assessee claimed that the notice issued under section 153A dated 22.02.2017 was bad in law and void ab initio. The assessee also claimed that the additions made in the order under section 153A were bad in law and on facts. The assessee further claimed that the additions made by the AO were contrary to the provisions of law and facts. The revenue, on the other hand, raised grounds of appeal questioning the CIT(A)'s decision to accept the assessee's claim that an amount of Rs. 38,06,922/- was considered twice while calculating undisclosed income and allowing its reduction from the total undisclosed amount computed. The revenue also questioned the CIT(A)…

Legal Issues

• 1. Whether the notice issued under section 153A was without jurisdiction?
• 2. Whether the additions made by the AO were justified?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

Similar Judgements

• Om Prakash Tantia Vs. DCIT

  Delhi Bench benchAY 2015-16Allowed

• Sh. Inder Chand Bajaj Vs. DCIT

  Delhi Bench benchAY 2015-16Allowed

• Gargi Manchanda vs. Income Tax Officer

  Delhi Bench benchAY 2012-13Allowed

• Income Tax Officer, Ward-3(3)(3), Ahmedabad Vs Niyati Sanket Shah

  Ahmedabad bench

• Sunita Chaudhary Vs. The A.C.I.T

  Delhi ‘B’ Bench benchAY 2010-11, 2012-13, 2014-15Partly Allowed

• Manak Chand Agarwal vs. ITO, Ward 53(1), New Delhi

  Delhi bench