Shreelekha Damani v. DCIT

173 TTJ 332Income Tax Appellate Tribunal2015#372 most cited

What is Shreelekha Damani v. DCIT authority for?

Approval granted by a superior authority under Section 153D in a mechanical or perfunctory manner, without proper application of mind, lacks legal sanctity and renders the subsequent assessment order null and void.

236

judgments rely on this decision, according to BharatTax’s citation analysis of 367,336 Indian tax judgments — from 2018 to 2026.

Also referred to as

Shreelekha Damani v. DCIT · Section 153D · prior approval · mechanical approval · perfunctory approval · lack of application of mind · search assessment · assessment null and void · Bombay High Court affirmation · 173 TTJ 332

Sections most often in play

Section 153ASection 153DSection 143(3)Section 153CSection 132Section 153BSection 115BBESection 69A

Issues it is cited on

section 115bbe(b)section 2(28c)section 117section 153aofsection 37bsection 271aab(1a)section 271aaasection 153a(1)(a)section 144bacasus omissussection 153(1)(a)time barred assessment

Judgments citing Shreelekha Damani v. DCIT

Svp Global Textiles Ltd Formerly Svp Global Ventures Ltd, Mumbai vs. Dy Commissioner of Income Tax, Central Circle-6(1), Mumbai

ITA 1307/MUM/2022[2016-2017]Status: DisposedITAT Mumbai30 Apr 2024AY 2016-2017

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Helios Mercantile Limited, Mumbai vs. Dy Commissioner of Income Tax, Central Circle-6(1), Mumbai

ITA 1306/MUM/2022[2016-2017]Status: DisposedITAT Mumbai30 Apr 2024AY 2016-2017

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Helios Mercantile Limited, Mumbai vs. Dy Commissioner of Income Tax Central Circle-6(1), Mumbai

ITA 1305/MUM/2022[2018-2019]Status: DisposedITAT Mumbai30 Apr 2024AY 2018-2019

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Helios Mercantile Limited, Mumbai vs. Dy Commissioner of Income Tax, Central Circle-6(1), Mumbai

ITA 1304/MUM/2022[2012-2013]Status: DisposedITAT Mumbai30 Apr 2024AY 2012-2013

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Helios Mercantile Limited, Mumbai vs. Dy Commissioner of Income Tax, Central Circle-6(1), Mumbai

ITA 1303/MUM/2022[2015-16]Status: DisposedITAT Mumbai30 Apr 2024AY 2015-16

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Helios Mercantile Limited, Mumbai vs. Dy Commissioner of Income Tax, Central Circle-6(1), Mumbai

ITA 1302/MUM/2022[2017-2018]Status: DisposedITAT Mumbai30 Apr 2024AY 2017-2018

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Helios Mercantile Limited, Mumbai vs. Dy Commissioner of Income Tax, Central Circle-6(1), Mumbai

ITA 1301/MUM/2022[2013-2014]Status: DisposedITAT Mumbai30 Apr 2024AY 2013-2014

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Helios Mercantile Limited, Mumbai vs. Dy Commissioner of Income Tax, Central Circle-6(1), Mumbai

ITA 1300/MUM/2022[2014-15]Status: DisposedITAT Mumbai30 Apr 2024AY 2014-15

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Svp South West Industries Ltd. (Formerly, Platinum Textile Ltd.), Mumbai-400005 vs. Commissioner of Income Tax, Central Circle-8(2), Mumbai

ITA 1275/MUM/2022[2016-17]Status: DisposedITAT Mumbai30 Apr 2024AY 2016-17

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Svp South West Industries Ltd. (Formerly, Platinum Textile Ltd.), Mumbai-400005 vs. Commissioner of Income Tax, Central Circle-8(2), Mumbai

ITA 1274/MUM/2022[2012-13]Status: DisposedITAT Mumbai30 Apr 2024AY 2012-13

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Svp South West Industries Ltd. (Formerly, Platinum Textile Ltd.), Mumbai-400005 vs. Commissioner of Income Tax, Central Circle-8(2), Mumbai

ITA 1273/MUM/2022[2015-16]Status: DisposedITAT Mumbai30 Apr 2024AY 2015-16

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Svp South West Industries Ltd. (Formerly, Platinum Textile Ltd.), Mumbai-400005 vs. Commissioner of Income Tax, Central Circle-8(2), Mumbai

ITA 1272/MUM/2022[2017-18]Status: DisposedITAT Mumbai30 Apr 2024AY 2017-18

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Svp South West Industries Ltd. (Formerly, Platinum Textile Ltd.), Mumbai vs. DCIT, CC- 8(2), Mumbai

ITA 1271/MUM/2022[2013-14]Status: DisposedITAT Mumbai30 Apr 2024AY 2013-14

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Citron Infraproject Ltd., Mumbai-400005 vs. Dy Commissioner of Income Tax, Central Circle-7(2), Mumbai

ITA 1270/MUM/2022[2012-13]Status: DisposedITAT Mumbai30 Apr 2024AY 2012-13

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Svp South West Industries Ltd. (Formerly, Platinum Textile Ltd.), Mumbai-400005 vs. Commissioner of Income Tax, Central Circle-8(2), Mumbai

ITA 1269/MUM/2022[2014-15]Status: DisposedITAT Mumbai30 Apr 2024AY 2014-15

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Citron Infraproject Ltd., Mumbai-400005 vs. Dy Commissioner of Income Tax, Central Circle-7(2), Mumbai-400020

ITA 1268/MUM/2022[2018-19]Status: DisposedITAT Mumbai30 Apr 2024AY 2018-19

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Citron Infraproject Ltd., Mumbai-400005 vs. Dy Commissioner of Income Tax, Central Circle-7(2), Mumbai-20

ITA 1267/MUM/2022[2015-16]Status: DisposedITAT Mumbai30 Apr 2024AY 2015-16

Bench: Shri Prashant Maharishi, Am & Shri Sandeep Singh Karhail, Jm

…lly without application of mind. The appellant has relied upon the decision of our grab bench of ITAT in case of Rajesh Ladhani V DCIT in ITA numbers 107 to 109/Agra/2019 dated 6/11/2019 and the judgment of Mumbai ITAT in case of Smt. Sreelekha Damani V Ducat 173 TTJ 332. 5.2.1 the facts of the case are that the AO obtained approval of the additional Commissioner of income tax of draft assessment order under section 153A read with section 144 of the act. The approval was granted under section 153D of the act wide letter number Addl. CIT-CR-6/Approval U/s 153D/2020 – 21/36 dated 26/2/2021 a question has been raise…

Veena Singh, New Delhi vs. ACIT, Central Circle-25, Delhi

In the result, the Appeals filed by the Assessee in ITA Nos

ITA 295/DEL/2022[2017-18]Status: DisposedITAT Delhi24 Apr 2024AY 2017-18

Bench: Shamim Yahya & Sh. Yogesh Kumar U.S.Ita No. 294/Del/2022, (A.Y. 2016-17) & Ita No. 295/Del/2022, (A.Y. 2017-18) Veena Singh Vs. Acit Flat 5, 2Nd Floor, J-21, Central Circle-25 South Extension Part-1, Room No. 322, 3Rd Floor, Delhi Ara Centre, Jhandewalan, Pan: Axjps9588H Delhi

Section 132Section 139Section 142(1)Section 143(2)Section 143(3)Section 153ASection 153DSection 44ASection 68Section 69A

…ed by the superior authority in mechanical manner defeats the very purpose of obtaining approval u/s 153D of the Act. Such perfunctory approval has no legal sanctity in the eyes of the law. The decision of the co-ordinate bench in Shreelekha Damani vs. DCIT 173 TTJ 332(Mum.) which has been approved by jurisdictional High Court subsequently, reported in Veena Singh Vs. ACIT 307 CTR 218 affirms the plea of the Assessee, wherein the Hon’ble Bombay High Court held as under:- “1. This appeal is filed by the Revenue challenging the judgment of Income Tax Appellate Tribunal ("the Tribunal" for short) dated 19th Aug…

Veena Singh, Delhi vs. ACIT Central Circle25, Delhi

In the result, the Appeals filed by the Assessee in ITA Nos

ITA 294/DEL/2022[2016-17]Status: DisposedITAT Delhi24 Apr 2024AY 2016-17

Bench: Shamim Yahya & Sh. Yogesh Kumar U.S.Ita No. 294/Del/2022, (A.Y. 2016-17) & Ita No. 295/Del/2022, (A.Y. 2017-18) Veena Singh Vs. Acit Flat 5, 2Nd Floor, J-21, Central Circle-25 South Extension Part-1, Room No. 322, 3Rd Floor, Delhi Ara Centre, Jhandewalan, Pan: Axjps9588H Delhi

Section 132Section 139Section 142(1)Section 143(2)Section 143(3)Section 153ASection 153DSection 44ASection 68Section 69A

…ed by the superior authority in mechanical manner defeats the very purpose of obtaining approval u/s 153D of the Act. Such perfunctory approval has no legal sanctity in the eyes of the law. The decision of the co-ordinate bench in Shreelekha Damani vs. DCIT 173 TTJ 332(Mum.) which has been approved by jurisdictional High Court subsequently, reported in Veena Singh Vs. ACIT 307 CTR 218 affirms the plea of the Assessee, wherein the Hon’ble Bombay High Court held as under:- “1. This appeal is filed by the Revenue challenging the judgment of Income Tax Appellate Tribunal ("the Tribunal" for short) dated 19th Aug…

Lovely Promoters Private Limited, Kolkata vs. ACIT, Central Circle, Ajmer

In the result, the appeal filed by the assessee is allowed

ITA 770/JPR/2023[2013-14]Status: DisposedITAT Jaipur08 Feb 2024AY 2013-14

Bench: him regarding non mentioning of Document Identification Number (DIN) in the body of the order u/s. 127 of the Act dated 08-09-2021 and various other technical pleas raised in grounds of appeal regarding validity of notice u/s. 148 of the Act, thereby appellate order passed by the CIT(A) is non-speaking order and deserves to be quashed. 4. On the facts and in circumstances of the case and in law, the AO erred in issuing notice u/s. 148 of the Act as it was a search related case u/s. 132 r/w

For Appellant: Shri Mayank Taparia (Adv.)For Respondent: Shri A.S. Nehra (Addl.CIT) a
Section 127Section 127(1)Section 132Section 147Section 148Section 148ASection 151Section 153C

…(Refer para 19 the judgment). In view of above, we humbly submit that there is gross violation of rules of natural justice. Reference is also invited to the decision of the Hon’ble ITAT, MumbaiBench in the case of Smt. Shree Lekha Damani vs. DCIT reported in 173 TTJ 332 (Mum.) wherein it was held that the legislative intent behind the insertion of section 153D of the Act was that the assessments in search and seizure cases should be made with the prior approval of superior authority which means that the superior authorities should apply their mind to the material on the basis of which the AO is making the assess…