Section 153D of the Income Tax Act

The decision most relied on for Section 153D is National Thermal Power Co. Ltd. v. CIT (229 ITR 383), cited in 5,834 of the 2,907 judgments on BharatTax that turn on this section.

Leading authorities on Section 153D

National Thermal Power Co. Ltd. v. CIT
229 ITR 383 · 1998 · Supreme Court
5,834
citing judgments

Appellate authorities can consider new claims and additional grounds if the relevant facts are already on record. The purpose of assessment is to correctly determine tax liability, allowing both parties to raise issues.

All Cargo Global Logistics Ltd. v. DCIT
137 ITD 287 · 2012 · ITAT
907
citing judgments

In non-abated assessments, the Assessing Officer can make additions under section 153A based on books of accounts or documents found during a search but not produced during the original assessment, provided such material is incriminating.

Hindustan Lever Ltd. v. R.B. Wadkar
268 ITR 332 · 2004 · High Court
695
citing judgments

The validity of reassessment proceedings initiated under Section 147, by issuing a notice under Section 148, must be judged solely on the reasons originally recorded by the Assessing Officer. These recorded reasons cannot be supplemented, improved upon, or modified at any later stage.

PCIT v. Shiv Kumar Nayyar
163 Taxmann.com 9 · 2024 · High Court
597
citing judgments

Approval under Section 153D for search assessments is invalid if granted mechanically, hastily, or without due application of mind, such as on the same day as the proposal or in a bunched manner. Such an invalid approval renders the consequential assessment order under Section 153A void ab initio.

PCIT v. Sapna Gupta
147 Taxmann.com 288 · 2023 · High Court
591
citing judgments

Approval under Section 153D for search assessments is not a mere formality; it requires the approving authority to apply its mind judiciously to the subject matter and ensure satisfaction of legal and procedural requirements for each assessment year.

ACIT v. Serajuddin & Co.
454 ITR 312 · 2023 · High Court
580
citing judgments

Approval under Section 153D of the Income Tax Act is mandatory for assessment orders in search cases. While elaborate reasons for approval are not required, the approving authority must provide some indication that it has examined the draft orders and found them to meet the requirements of law.

CIT v. Calcutta Knitwears
362 ITR 673 · 2014 · Supreme Court
528
citing judgments

The recording of a satisfaction note by the Assessing Officer is a jurisdictional prerequisite for assessments under Section 153C, and the six-year limitation period for such assessments is reckoned from the date this satisfaction is recorded.

ACIT v. Serajuddin & Co.
163 Taxmann.com 118 · 2024 · Supreme Court
500
citing judgments

Strict adherence to approval protocols under Section 153D, including those in the Departmental Manual of Office Procedure, is essential for search assessments. An assessment is invalid if the approving authority fails to apply its mind or consider all relevant seized material before granting approval.

CIT v. Kelvinator of India Ltd.
256 ITR 1 · 2002 · High Court
439
citing judgments

An Assessing Officer cannot reopen an assessment under Section 147 based on a mere change of opinion regarding the same material available during the original assessment. Reopening requires fresh, tangible material or information that leads to a reason to believe income has escaped assessment.

E.N. Gopakumar v. CIT
75 Taxmann.com 215 · 2016 · High Court
428
citing judgments

In search assessments conducted under Section 153A of the Income-tax Act, additions to the assessee's income can be made even in the absence of incriminating material found during a search operation conducted under Section 132.

Judgments on Section 153D

Shreenathji Extrusion, Mehsana vs. The Dy.CIT, Central Circle-2(1), Ahmedabad

In the result, the CO of the assessee for AY 2017-18 is partly allowed in above terms

ITA 2311/AHD/2025[2019-20]Status: DisposedITAT Ahmedabad18 Jun 2026AY 2019-20

Bench: Dr. B.R.R. Kumar, Vice-Ms. Suchitra Kamblesn It(Ss)A/Co No. Ay Appellant Respondent 1 It(Ss)A No. 2015-16 Shreenathji Extrusion, Acit, 130/Ahd/2025 S.R. No. 188/6/3, At & Post Central Circle 2(1), Karan Nagar, Kadi Road, Ahmedabad Kadi, Mehsana-382715 [Pan : Acmfs 6940 B] 2 Co No. 2015-16 Shreenathji Extrusion, Acit, 102/Ahd/2025 Kadi, Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad 3 It(Ss)A No. 2016-17 Acit, Shreenathji Extrusion, Kadi, 131/Ahd/2025 Central Circle 2(1), Mehsana-382715 Ahmedabad [Pan : Acmfs 6940 B] 4 Co No. 2016-17 Shreenathji Extrusion, Acit, 103/Ahd/2025 Kadi, Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad 5 It(Ss)A No. 2017-18 Shreenathji Extrusion, Kadi, Acit, 136/Ahd/2025 Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad 6 Co No. 2017-18 Shreenathji Extrusion, Acit, 104/Ahd/2025 Kadi, Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad 7 It(Ss)A No. 2018-19 Shreenathji Extrusion, Kadi, Acit, 137/Ahd/2025 Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad 8 Co No. 2018-19 Shreenathji Extrusion, Acit, 105/Ahd/2025 Kadi, Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad 9 It(Ss)A No. 2019-20 Shreenathji Extrusion, Kadi, Acit, 138/Ahd/2025 Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad 2019-20 Shreenathji Extrusion, Dcit, 2311/Ahd/2025 Kadi, Mehsana-382715 Central Circle 2(1), [Pan : Acmfs 6940 B] Ahmedabad

For Appellant: Shreenathji Extrusion
Section 250

M/S. La Vie Estate LLP, Chennai vs. ACIT, Central Circle-1(2), Chennai

In the result, the appeal of the assessee is allowed

ITA 3028/CHNY/2025[2019-20]Status: DisposedITAT Chennai11 Jun 2026AY 2019-20

Bench: Shri S.S. Viswanethra Ravi & Shri S. R. Raghunathaआयकर अपील सं./Ita No. 3028/Chny/2025 ननिाारण वर्ा / Assessment Year: 2019-20 La Vie Estate Llp The Assistant Commissioner Of No.33 Rutland Towers, Vs. Income-Tax, Central Cir.1(2) Shafee Mohammed Road Chennai. Off Greams Road Chennai – 600 006 [Pan:Aahfl2231R ] (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) अपीलार्थी की ओर से/Appellant By : Shri. Rakesh Joshi, Ca (Virtual) प्रत्यर्थी की ओर से/Respondent By : Ms.Anitha, Addl.Cit सुनवाई की तारीख/Date Of Hearing : 28.04.2026 घोर्णा की तारीख/Date Of Pronouncement : 11.06.2026 आदेश /O R D E R Per S. R. Raghunatha, Am : This Appeal By The Assessee Is Arising Out Of The Order Dated 27.06.2025 Passed By The Learned Commissioner Of Income Tax (Appeal) Chennai-18, (In Short “Ld.Cit(A)”) For The Assessment Year (A.Y) 2019-20 Against The Order U/S.153A R.W.S 143(3) Of The Income Tax Act, 1961 (Hereinafter The ‘Act’) Passed By The Assistant Commissioner Of Income-Tax, Central Circle 1(2), Chennai (In Short ‘Ao’), Dated 30.09.2021. :-2-: Ita. No.3028 /Chny/2025

For Appellant: Shri. Rakesh Joshi, CA (Virtual)For Respondent: Ms.Anitha, Addl.CIT
Section 115BSection 132Section 139(1)Section 143(3)Section 153ASection 153DSection 68

Usha Projects (India) Pvt Ltd, Bhubaneswar vs. DCIT, Central Circle-1, Bhubaneswar

In the result, the appeals of the assessee are allowed and the appeals of the revenue are dismissed

ITA 26/CTK/2026[2016-2017]Status: DisposedITAT Cuttack05 Jun 2026AY 2016-2017

Bench: Shri George Mathan & Shri Rajesh Kumarआयकर अपील सं/It(Ss)A Nos.21 To 26/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2011-12 To 2015-16) Usha Projects (India) Pvt. Ltd. Vs Dcit, Central Circle-1, Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) आयकर अपील सं/It(Ss)A Nos.2 To 5/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2012-13 To 2014-15) Dcit, Central Circle-1, Vs Usha Projects (India) Pvt. Ltd. Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) धििााररतीकीओरसे /Assessee By : Shri Chitrasen Parida, Ar राजस्वकीओरसे /Revenue By : Shri Jeetendra Kumar, Cit-Dr सुनवाईकीतारीख/ Date Of Hearing : 04/06/2026 घोषणाकीतारीख/Date Of Pronouncement : 04/06/2026

For Appellant: Shri Chitrasen Parida, ARFor Respondent: Shri Jeetendra Kumar, CIT-DR
Section 153D

Usha Projects (India) Pvt Ltd, Bhubaneswar vs. DCIT, Central Circle-1, Bhubaneswar

In the result, the appeals of the assessee are allowed and the appeals of the revenue are dismissed

ITA 25/CTK/2026[2015-2016]Status: DisposedITAT Cuttack05 Jun 2026AY 2015-2016

Bench: Shri George Mathan & Shri Rajesh Kumarआयकर अपील सं/It(Ss)A Nos.21 To 25/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2011-12 To 2015-16) Usha Projects (India) Pvt. Ltd. Vs Dcit, Central Circle-1, Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) आयकर अपील सं/It(Ss)A Nos.2 To 5/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2012-13 To 2014-15) Dcit, Central Circle-1, Vs Usha Projects (India) Pvt. Ltd. Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) धििााररतीकीओरसे /Assessee By : Shri Chitrasen Parida, Ar राजस्वकीओरसे /Revenue By : Shri Jeetendra Kumar, Cit-Dr सुनवाईकीतारीख/ Date Of Hearing : 04/06/2026 घोषणाकीतारीख/Date Of Pronouncement : 04/06/2026

For Appellant: Shri Chitrasen Parida, ARFor Respondent: Shri Jeetendra Kumar, CIT-DR
Section 153D

Usha Projects (India) Pvt. Ltd., Bhubaneswar vs. DCIT, Central Circle-1, Bhubaneswar

In the result, the appeals of the assessee are allowed and the appeals of the revenue are dismissed

ITA 24/CTK/2026[2014-2015]Status: DisposedITAT Cuttack05 Jun 2026AY 2014-2015

Bench: Shri George Mathan & Shri Rajesh Kumarआयकर अपील सं/It(Ss)A Nos.21 To 25/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2011-12 To 2015-16) Usha Projects (India) Pvt. Ltd. Vs Dcit, Central Circle-1, Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) आयकर अपील सं/It(Ss)A Nos.2 To 5/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2012-13 To 2014-15) Dcit, Central Circle-1, Vs Usha Projects (India) Pvt. Ltd. Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) धििााररतीकीओरसे /Assessee By : Shri Chitrasen Parida, Ar राजस्वकीओरसे /Revenue By : Shri Jeetendra Kumar, Cit-Dr सुनवाईकीतारीख/ Date Of Hearing : 04/06/2026 घोषणाकीतारीख/Date Of Pronouncement : 04/06/2026

For Appellant: Shri Chitrasen Parida, ARFor Respondent: Shri Jeetendra Kumar, CIT-DR
Section 153D

Usha Projects (India) Pvt. Ltd., Bhubaneswar vs. DCIT, Central Circle-1, Bhubaneswar

In the result, the appeals of the assessee are allowed and the appeals of the revenue are dismissed

ITA 22/CTK/2026[2012-13]Status: DisposedITAT Cuttack05 Jun 2026AY 2012-13

Bench: Shri George Mathan & Shri Rajesh Kumarआयकर अपील सं/It(Ss)A Nos.21 To 25/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2011-12 To 2015-16) Usha Projects (India) Pvt. Ltd. Vs Dcit, Central Circle-1, Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) आयकर अपील सं/It(Ss)A Nos.2 To 5/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2012-13 To 2014-15) Dcit, Central Circle-1, Vs Usha Projects (India) Pvt. Ltd. Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) धििााररतीकीओरसे /Assessee By : Shri Chitrasen Parida, Ar राजस्वकीओरसे /Revenue By : Shri Jeetendra Kumar, Cit-Dr सुनवाईकीतारीख/ Date Of Hearing : 04/06/2026 घोषणाकीतारीख/Date Of Pronouncement : 04/06/2026

For Appellant: Shri Chitrasen Parida, ARFor Respondent: Shri Jeetendra Kumar, CIT-DR
Section 153D

Usha Projects (India) Pvt. Ltd., Bhubaneswar vs. DCIT, Central Circle-1, Bhubaneswar

In the result, the appeals of the assessee are allowed and the appeals of the revenue are dismissed

ITA 21/CTK/2026[2011-2012]Status: DisposedITAT Cuttack05 Jun 2026AY 2011-2012

Bench: Shri George Mathan & Shri Rajesh Kumarआयकर अपील सं/It(Ss)A Nos.21 To 25/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2011-12 To 2015-16) Usha Projects (India) Pvt. Ltd. Vs Dcit, Central Circle-1, Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) आयकर अपील सं/It(Ss)A Nos.2 To 5/Ctk/2025 (धििाारणवर्ा / Assessment Years: 2012-13 To 2014-15) Dcit, Central Circle-1, Vs Usha Projects (India) Pvt. Ltd. Bhubaneswar House No.1, Usha House, Surya Vihar, Kiit Campus-Iii, Patia, Bhubaneswar, Odisha- 751024. Pan No. : Aafcs4424C (अपीलार्थी/Appellant) .. (प्रत्यर्थी / Respondent) धििााररतीकीओरसे /Assessee By : Shri Chitrasen Parida, Ar राजस्वकीओरसे /Revenue By : Shri Jeetendra Kumar, Cit-Dr सुनवाईकीतारीख/ Date Of Hearing : 04/06/2026 घोषणाकीतारीख/Date Of Pronouncement : 04/06/2026

For Appellant: Shri Chitrasen Parida, ARFor Respondent: Shri Jeetendra Kumar, CIT-DR
Section 153D