Whether assessments which have attained finality u/s 153A can be disturbed or varied if no incriminating material is found qua the addition made?

Last updated: 25 February 2015

Court :
ITAT Mumbai

Brief :
Assessee is an individual having salary income and income from other sources. Return of income for A.Y. 2002-03 was filed on 31.03.2003 u/s 139 and for A.Y.2004-05, return was filed on 31.03.2005 u/s 139. After the filing of the return of income, no notice u/s143(2) was issued within the time limit prescribed under the statute. Thus, the return of income stood assessed and had attained finality. Thereafter search and seizure action u/s 132(1) was carried out by the Investigation Wing Mumbai in the case of Commodities Exchange Group on 19.06.2007. In pursuance of search action u/s 132(1), notices u/s153A was issued to the assessee on 25.10.2007 for the six assessmentyears immediately preceding the assessment year of the year of the search, which included the aforesaid assessment years. In response to the said notices the assessee filed his return of income on 26.11.2007. In the assessment order passed u/s 153A, r.w.section 143(3), the addition on account of deemed dividend ofRs.1,69,68,750/- for the A.Y. 2002-03 and Rs.4,65,76,000/- for the A.Y.2004-05 was made, vide separate order dated 31.03.2009.Held that assessments which have attained finality u/s 153A cannot be disturbed or varied if no incriminating material is found qua the addition made.

Citation :
Jignesh P. Shah – Appellant – Verus – DCIT – Respondent