CIT v. Kabul Chawla

380 ITR 573High Court2016#3 most cited

What is CIT v. Kabul Chawla authority for?

In a search assessment under Section 153A, additions can only be made for completed or non-abated assessment years if incriminating material relevant to those years is found during the search, although notice under Section 153A(1) is mandatorily issued for six assessment years preceding the search.

3,235

judgments rely on this decision, according to BharatTax’s citation analysis of 367,735 Indian tax judgments — from 2015 to 2026.

Also referred to as

CIT v. Kabul Chawla · Kabul Chawla · section 153A · section 132 · incriminating material · search assessment · non-abated years · scope of assessment · additions · undisclosed income

Also reported as

61 Taxmann.com 412234 Taxmann 300281 CTR 45

Sections most often in play

Section 153ASection 132Section 143(3)Section 147Section 148Section 153CSection 132ASection 143(2)
Read the full judgment

Issues it is cited on

section 158bcstatement under section 132(4)section 132asection 158bblock periodsection 132(1)section 153a(1)section 158section 153bsearch assessmentpanchnamaincriminating material

Judgments citing CIT v. Kabul Chawla

ACIT, New Delhi vs. M/S. Nagar Dairy Pvt. Ltd., New Delhi

In the result, Appeal of the Revenue in ITA No

ITA 5474/DEL/2015[2010-11]Status: DisposedITAT Delhi24 Nov 2022AY 2010-11

Bench: Dr. B. R. R. Kumar & Sh. Yogesh Kumar U.S.

For Respondent: “1. On the facts and in the circumstances of the case
Section 153CSection 2(22)(e)Section 271(1)(c)Section 40A(3)

…bated assessment owing to the recording of satisfaction and issue of notice u/s 153C on 26.09.2012 and filing of the regular return of income on 30.09.2011. The assessment cannot be said to be unabated. Hence, the judgment in the case of PCIT Vs. Kabul Chawla 380 ITR 573 is not applicable to the instant case. Accordingly, we do not find merit in the Ground No. 2 of the C.O. Thus, we dismiss the Ground No. 2 of the C.O. In view of the same, the issues are being examined on merits of the case in the appeal of the revenue along with Ground No. 3 of the Cross Objection. ITA No. 5474/Del/2015 : A.Y. 2010-11 (Revenu…

ACIT, New Delhi vs. M/S. Nagar Dairy Pvt. Ltd., New Delhi

In the result, C.O. Nos. 26, 27 & 28/Del/2016 filed by the assessee are allowed, accordingly the Assessment Orders dated 28

ITA 5473/DEL/2015[2009-10]Status: DisposedITAT Delhi23 Nov 2022AY 2009-10

Bench: Dr. B. R. R. Kumar & Sh. Yogesh Kumar U.S.

Section 153CSection 271(1)(c)Section 40A(3)

…or reasons, why the material seized from the other person has a nexus to the assessee, to whom the notice under that provision is addressed. In this case, this never happened. Thus, for the previous years, the rule in Commissioner of Income Tax v Kabul Chawla 380 ITR 573 (Del), i.e., that in the absence of any incriminating materials, the previous years‟ assessments cannot be disturbed, applies.” 13. Further, Hon’ble Supreme Court in the case of CIT Vs. Calcutta Knitwears [2014] 43 taxmann.com 446 has settled the law that “satisfaction note is sine qua non and must be prepared by the assessing officer before he…

ACIT, New Delhi vs. M/S. Nagar Dairy Pvt. Ltd., New Delhi

In the result, C.O. Nos. 26, 27 & 28/Del/2016 filed by the assessee are allowed, accordingly the Assessment Orders dated 28

ITA 5472/DEL/2015[2008-09]Status: DisposedITAT Delhi23 Nov 2022AY 2008-09

Bench: Dr. B. R. R. Kumar & Sh. Yogesh Kumar U.S.

Section 153CSection 271(1)(c)Section 40A(3)

…or reasons, why the material seized from the other person has a nexus to the assessee, to whom the notice under that provision is addressed. In this case, this never happened. Thus, for the previous years, the rule in Commissioner of Income Tax v Kabul Chawla 380 ITR 573 (Del), i.e., that in the absence of any incriminating materials, the previous years‟ assessments cannot be disturbed, applies.” 13. Further, Hon’ble Supreme Court in the case of CIT Vs. Calcutta Knitwears [2014] 43 taxmann.com 446 has settled the law that “satisfaction note is sine qua non and must be prepared by the assessing officer before he…

ACIT, New Delhi vs. M/S. Nagar Dairy Pvt. Ltd., New Delhi

In the result, C.O. Nos. 26, 27 & 28/Del/2016 filed by the assessee are allowed, accordingly the Assessment Orders dated 28

ITA 5471/DEL/2015[2007-08]Status: DisposedITAT Delhi23 Nov 2022AY 2007-08

Bench: Dr. B. R. R. Kumar & Sh. Yogesh Kumar U.S.

Section 153CSection 271(1)(c)Section 40A(3)

…or reasons, why the material seized from the other person has a nexus to the assessee, to whom the notice under that provision is addressed. In this case, this never happened. Thus, for the previous years, the rule in Commissioner of Income Tax v Kabul Chawla 380 ITR 573 (Del), i.e., that in the absence of any incriminating materials, the previous years‟ assessments cannot be disturbed, applies.” 13. Further, Hon’ble Supreme Court in the case of CIT Vs. Calcutta Knitwears [2014] 43 taxmann.com 446 has settled the law that “satisfaction note is sine qua non and must be prepared by the assessing officer before he…

Gvpr Engineers Limited, Hyderabad vs. Deputy Commissioner of Income Tax, Hyderabad

In the result, both the appeals filed by the assessee are partly allowed for statical purposes

ITA 696/HYD/2020[2013-14]Status: DisposedITAT Hyderabad21 Nov 2022AY 2013-14

Bench: Shri R.K. Panda & Shri Laliet Kumar

For Appellant: Shri P. Murali Mohan, CA and Shri M.V. Joshi, CAFor Respondent: Shri Y.V.S.T. Sai, CIT(DR)
Section 132Section 143(3)Section 153ASection 80I

…f Dy CIT Circle-1, vs. Mr.A.T. Rayudu in ITA No.313 to 319 of 2014. ii) Hon'ble A.P. High Court in the case of CIT (Central) vs. M/s. Hyderabad House (P) Ltd (ITA No.266 of 2013) iii). Hon'ble Delhi High Court in the case of CIT (Central)III vs. Kabul Chawla (61 Taxmann.com 412) iv) ITAT Mumbai Special Bench in the case of All Cargo Global Logistics Ltd (2012) 23 Taxmann.com 103 (Mum.) (SB). v) ITAT Hyderabad in the case of Indukuri Sundari Vs. DCIT (ITA No. 645 &646/Hyd/2017) vi) ITAT Hyderabad in the case of M/s. Olectra Greentech Ltd vs. ACIT in ITA No.466/HYD/2021 vii) ITAT Hyderabad in the case of Lam Paul S…

Gvpr Engineers Limited, Hyderabad vs. Deputy Commissioner of Income Tax Central Circle 1 (3), Hyderabad

In the result, both the appeals filed by the assessee are partly allowed for statical purposes

ITA 695/HYD/2020[2012-13]Status: DisposedITAT Hyderabad21 Nov 2022AY 2012-13

Bench: Shri R.K. Panda & Shri Laliet Kumar

For Appellant: Shri P. Murali Mohan, CA and Shri M.V. Joshi, CAFor Respondent: Shri Y.V.S.T. Sai, CIT(DR)
Section 132Section 143(3)Section 153ASection 80I

…f Dy CIT Circle-1, vs. Mr.A.T. Rayudu in ITA No.313 to 319 of 2014. ii) Hon'ble A.P. High Court in the case of CIT (Central) vs. M/s. Hyderabad House (P) Ltd (ITA No.266 of 2013) iii). Hon'ble Delhi High Court in the case of CIT (Central)III vs. Kabul Chawla (61 Taxmann.com 412) iv) ITAT Mumbai Special Bench in the case of All Cargo Global Logistics Ltd (2012) 23 Taxmann.com 103 (Mum.) (SB). v) ITAT Hyderabad in the case of Indukuri Sundari Vs. DCIT (ITA No. 645 &646/Hyd/2017) vi) ITAT Hyderabad in the case of M/s. Olectra Greentech Ltd vs. ACIT in ITA No.466/HYD/2021 vii) ITAT Hyderabad in the case of Lam Paul S…

M/S. Gigaplex Estate Pvt. Ltd, Mumbai vs. DCIT Cent. Cir 4(2), Mumbai

In the result, the appeal filed by the assessee does not hold merit and is hereby

ITA 2080/MUM/2021[2015-16]Status: DisposedITAT Mumbai21 Nov 2022AY 2015-16

Bench: Shri Om Prakash Kant, Am & Ms. Kavitha Rajagopal, Jm

For Appellant: Shri Manan MathuriaFor Respondent: Shri Kailash Kanojia
Section 132(1)Section 143(3)Section 153ASection 250

…and confirmed the order of the A.O. by placing reliance on the following decisions: • All Cargo Logistics Ltd. [2012] 23 TAxmann.com 103 (Mum) (SB) • Continental Warehousing Corporation (Nhava Sheva) Ltd. [2015] 58 taxmann.com 78 (Bom) • CIT vs. Kabul Chawla 281 CTR 45 (Del) 10. The assessee is in appeal before us as against the order of the ld. CIT(A) in rejecting the claim of the assessee. 11. The ld. Authorized Representative (AR for short) for the assessee contended that the provisions of section 153A enables both the A.O./assessee to assess or reassess the ‘total income’ of the assessee. The ld. AR furthe…

Pr. Commissioner of Income Tax-7 vs. Surya Fresh Foods Pvt. Ltd

ITA/459/2022HC Delhi17 Nov 2022

Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

Section 132Section 143(1)Section 143(3)Section 153Section 153ASection 153A(1)Section 80I

…al gathered during the course of search even though there is no legal requirement in law that incriminating material must be found during search. He submits that the ITAT has erred in relying upon the judgement of this Court in the case of CIT vs Kabul Chawla 380 ITR 573 (Del) ignoring the fact that Revenue's SLPs on similar issue are pending before the Supreme Court. He further states that the ITAT has erred in deleting the additions made by the Assessing Officer on account of deductions under Section 80IB Digitally Signed By:JASWANT SINGH RAWAT Signing Date:18.11.2022 20:45:58 Signature Not Verified Neutral C…

Pr. Commissioner of Income Tax-7 vs. Surya Fresh Foods Pvt. Ltd

ITA - 459 / 2022HC Delhi17 Nov 2022
Section 132Section 143(1)Section 143(3)Section 153Section 153ASection 153A(1)Section 80I

…al gathered during the course of search even though there is no legal requirement in law that incriminating material must be found during search. He submits that the ITAT has erred in relying upon the judgement of this Court in the case of CIT vs Kabul Chawla 380 ITR 573 (Del) ignoring the fact that Revenue's SLPs on similar issue are pending before the Supreme Court. He further states that the ITAT has erred in deleting the additions made by the Assessing Officer on account of deductions under Section 80IB Digitally Signed By:JASWANT SINGH RAWAT Signing Date:18.11.2022 20:45:58 Signature Not Verified Neutral C…

Principal Commissioner of Income Tax 2 Kolkata vs. M/S Sambuddha Tracon Pvt Ltd

The appeal stands disposed of in terms of

ITAT/90/2022HC Calcutta15 Nov 2022

Bench: : The Hon’Ble Acting Chief Justice T.S. Sivagnanam & The Hon’Ble Justice Hiranmay Bhattacharyya Date : 26Th April, 2023 Appearance : Mr. Prithu Dhudheria, Adv. … For Appellant Mr. S. M. Surana, Adv. Mr. Bhaskar Sengupta, Adv. …For Respondent. The Court : This Appeal Has Been Filed By The Revenue Challenging The Order Passed By The Income Tax Appellate Tribunal. The Legal Issue Involved In The Instant Case Is The Scope Of Assessment Under Section 153A Of The Income Tax Act. The Legal Issue Which Has Been Raised By The Revenue Has Been Answered By The Hon’Ble Supreme Court In The Case Of Principal Commissioner Of Income Tax, Central-3 Vs. Abhisar Buildwell [P] Ltd. Reported In [2023] 149 Taxmann.Com 399 [Sc]. The Hon’Ble Supreme Court Has Summarised The Legal Position In Paragraph 11 Of The Judgment & In Paragraph 13 The Hon’Ble Supreme Court Has Held That It Is An Agreement With A View Taken By The Delhi High Court In The Case Of Commissioner Of Income Tax [Central]-Iii Vs. Kabul

Section 132Section 132ASection 153A

…l position in paragraph 11 of the judgment and in paragraph 13 the Hon’ble Supreme Court has held that it is an agreement with a view taken by the Delhi High Court in the case of Commissioner of Income Tax [Central]-III vs. Kabul 2 Chawla reported in [2016] 380 ITR 573 [Delhi] and that of the High Court of Gujarat in the case of Principal Commissioner of Income Tax-4 vs. Saumya Construction reported in [2016] 387 ITR 529 [Gujarat]. In the penultimate paragraph of the judgment namely, in paragraph 14 the conclusion has been recorded, which is as follows : “14. In view of the above and for the reasons stated abov…

Pr.Commissioner of Income Tax-8 vs. S.P. Singla Construction Pvt. Ltd

Appeal stands dismissed

ITA/29/2019HC Delhi14 Nov 2022

Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

Section 132Section 143(1)Section 143(3)Section 153ASection 68

…are capital and premium received by the Assessee. 5. Learned counsel for the respondent relies upon the judgment of this Court in PCIT Vs. Meeta Gutgutia, (2017) 82 taxmann.com 287 (Del) which followed the decision of this Court in CIT Vs. Kabul Chawla (2016) 380 ITR 573 (Del) and reiterated that if no incriminating material was found during the course of search in respect of issue then no addition in respect of any issue can be made to the assessment under Sections 153A and 153C of the Act. 6. Upon a perusal of the paper book, this Court finds that both CIT(A) and the ITAT have given concurrent findings of fact…

Pr.Commissioner of Income Tax (Central)- 3 vs. M/S Pgf Ltd

Appeals are dismissed

ITA/530/2019HC Delhi14 Nov 2022

Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

Section 132Section 139Section 153ASection 158Section 158B

…ot abated. The questions of law as suggested in one of the appeal being ITA 527/2019 are reproduced hereinbelow:- “A.Whether Ld. ITAT has erred in dismissing the appeal of the revenue by relying on the decision of the Hon’ble High Court in CIT v. Kabul Chawla 380 ITR 573 CIT, without properly appreciating the provisions contained in section 153A of the IT Act which does not require to have any incriminating material found during the search and seizure action as an essential requirement for making an addition in the assessment? B. Whether the Ld. ITAT has erred in dismissing the appeal of the revenue by relying on…

Pr.Commissioner of Income Tax (Central)- 3 vs. M/S Pgf Ltd

Appeals are dismissed

ITA/528/2019HC Delhi14 Nov 2022

Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

Section 132Section 139Section 153ASection 158Section 158B

…ot abated. The questions of law as suggested in one of the appeal being ITA 527/2019 are reproduced hereinbelow:- “A.Whether Ld. ITAT has erred in dismissing the appeal of the revenue by relying on the decision of the Hon’ble High Court in CIT v. Kabul Chawla 380 ITR 573 CIT, without properly appreciating the provisions contained in section 153A of the IT Act which does not require to have any incriminating material found during the search and seizure action as an essential requirement for making an addition in the assessment? B. Whether the Ld. ITAT has erred in dismissing the appeal of the revenue by relying on…

DCIT CC -7(2), Mumbai vs. M/S. Dewal Engineering Pvt. Ltd, Mumbai

In the result, appeal filed by the Revenue is dismissed

ITA 2268/MUM/2021[2011-12]Status: DisposedITAT Mumbai14 Nov 2022AY 2011-12

Bench: Shri Aby T Varkey () & Shri Amarjit Singh ()

Section 132Section 132(4)Section 143(2)Section 143(3)Section 153ASection 153CSection 153C(1)Section 68

…another decision of the Hon'ble Bombay High Court in CIT v. Gurinder Singh Bawa [2016] 386 ITR 483/[2017] 79 taxmann.com 398. 6.2.21. The aforesaid findings are fortified by the decision of the Hon'ble Delhi High Court in the CIT Central-Ill vs. Kabul Chawla, 380 ITR 573 (Del). The Hon'ble Delhi High Court in the case of Pr. CIT vs. Meeta Gutgutia [2017-TIOL-1000-HC-DEL-IT], has affirmed the view that no addition can be made for a particular assessment year without there being an incriminating material that relates to the said assessment year which would justify such an addition. The Hon'ble Supreme Court in the…

M/S. Trishul Buildtech & Infrastructures Pvt. Ltd., Bengaluru vs. The Deputy Commissioner of Income-Tax, Central Circle-2(2), Bengaluru

In the result, assessee’s appeals are partly allowed

ITA 109/BANG/2022[2018-19]Status: DisposedITAT Bangalore14 Nov 2022AY 2018-19

Bench: Shri Chandra Poojari & Shri George George K.

For Appellant: Shri A. Shankar, Senior AdvocateFor Respondent: Shri Manjunath Karkihalli, D.R
Section 250

…f the decision of Hon'ble Jurisdictional Karnataka High Court in the case of CIT Vs. IBC Knowledge Park (P) Ltd. (385 ITR 346)(Karn.). Reliance is also placed on the decision of the i) Hon'ble Delhi High Court in the case of CIT Vs. Kabul Chawla, reported in 380 ITR 573 wherein held that unless incriminating material leading to an inference of undisclosed income is found, invocation of provisions of section 153A of the Act is not possible. j) The ld. AR further contended that he has an apprehension that satisfaction has not been recorded and thus the notice issued under section 153A of the Act is bad in law. Th…

M/S. Trishul Buildtech & Infrastructures Pvt. Ltd., Bengaluru vs. The Deputy Commissioner of Income-Tax, Central Circle-2(2), Bengaluru

In the result, assessee’s appeals are partly allowed

ITA 108/BANG/2022[2017-18]Status: DisposedITAT Bangalore14 Nov 2022AY 2017-18

Bench: Shri Chandra Poojari & Shri George George K.

For Appellant: Shri A. Shankar, Senior AdvocateFor Respondent: Shri Manjunath Karkihalli, D.R
Section 250

…f the decision of Hon'ble Jurisdictional Karnataka High Court in the case of CIT Vs. IBC Knowledge Park (P) Ltd. (385 ITR 346)(Karn.). Reliance is also placed on the decision of the i) Hon'ble Delhi High Court in the case of CIT Vs. Kabul Chawla, reported in 380 ITR 573 wherein held that unless incriminating material leading to an inference of undisclosed income is found, invocation of provisions of section 153A of the Act is not possible. j) The ld. AR further contended that he has an apprehension that satisfaction has not been recorded and thus the notice issued under section 153A of the Act is bad in law. Th…

M/S. Trishul Buildtech & Infrastructures Pvt. Ltd., Bengaluru vs. The Deputy Commissioner of Income-Tax, Central Circle-2(2), Bengaluru

In the result, assessee’s appeals are partly allowed

ITA 107/BANG/2022[2016-17]Status: DisposedITAT Bangalore14 Nov 2022AY 2016-17

Bench: Shri Chandra Poojari & Shri George George K.

For Appellant: Shri A. Shankar, Senior AdvocateFor Respondent: Shri Manjunath Karkihalli, D.R
Section 250

…f the decision of Hon'ble Jurisdictional Karnataka High Court in the case of CIT Vs. IBC Knowledge Park (P) Ltd. (385 ITR 346)(Karn.). Reliance is also placed on the decision of the i) Hon'ble Delhi High Court in the case of CIT Vs. Kabul Chawla, reported in 380 ITR 573 wherein held that unless incriminating material leading to an inference of undisclosed income is found, invocation of provisions of section 153A of the Act is not possible. j) The ld. AR further contended that he has an apprehension that satisfaction has not been recorded and thus the notice issued under section 153A of the Act is bad in law. Th…

Pr. Commissioner of Income Tax (Central)-2 vs. M/S Jay Ambey Aromatics

ITA/436/2022HC Delhi09 Nov 2022

Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

Section 132Section 153Section 153ASection 153A(1)

…essments under section 153A of the Income Tax Act, 1961 (the ‘Act’) and, consequently, deleted additions without going into merits of the same. 3. He states that the ITAT has erred in relying upon the judgement of this Court in the case of CIT vs Kabul Chawla 380 ITR 573 (Del) ignoring Digitally Signed By:JASWANT SINGH RAWAT Signing Date:10.11.2022 18:53:10 Signature Not Verified Neutral Citation Number: 2022/DHC/004752 ITA 436/2022 & connected matters Page 3 of 5 the fact that Revenue's SLP bearing Diary No.37848/2015, on similar issue is pending before the Supreme Court. 4. Upon perusal of the paper book, thi…

Pr. Commissioner of Income Tax (Central)-2 vs. M/S Jay Ambey Aromatics

ITA/438/2022HC Delhi09 Nov 2022

Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

Section 132Section 153Section 153ASection 153A(1)

…essments under section 153A of the Income Tax Act, 1961 (the ‘Act’) and, consequently, deleted additions without going into merits of the same. 3. He states that the ITAT has erred in relying upon the judgement of this Court in the case of CIT vs Kabul Chawla 380 ITR 573 (Del) ignoring Digitally Signed By:JASWANT SINGH RAWAT Signing Date:10.11.2022 18:53:10 Signature Not Verified Neutral Citation Number: 2022/DHC/004752 ITA 436/2022 & connected matters Page 3 of 5 the fact that Revenue's SLP bearing Diary No.37848/2015, on similar issue is pending before the Supreme Court. 4. Upon perusal of the paper book, thi…

Pr. Commissioner of Income Tax (Central)-2 vs. M/S Jay Ambey Aromatics

ITA/437/2022HC Delhi09 Nov 2022

Bench: HON'BLE MR. JUSTICE MANMOHAN,HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

Section 132Section 153Section 153ASection 153A(1)

…essments under section 153A of the Income Tax Act, 1961 (the ‘Act’) and, consequently, deleted additions without going into merits of the same. 3. He states that the ITAT has erred in relying upon the judgement of this Court in the case of CIT vs Kabul Chawla 380 ITR 573 (Del) ignoring Digitally Signed By:JASWANT SINGH RAWAT Signing Date:10.11.2022 18:53:10 Signature Not Verified Neutral Citation Number: 2022/DHC/004752 ITA 436/2022 & connected matters Page 3 of 5 the fact that Revenue's SLP bearing Diary No.37848/2015, on similar issue is pending before the Supreme Court. 4. Upon perusal of the paper book, thi…