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

Ss Realty, Ahmedabad vs. The Dy.CIT, Central Circle-2(4), Ahmedabad

In the result, the appeal of the Revenue is allowed for statistical purposes

ITSSA 104/AHD/2024[2020-21]Status: DisposedITAT Ahmedabad14 Sept 2026AY 2020-21

Bench: Dr. B.R.R. Kumar, Vice-Shri Rahul Chaudharysn It(Ss)A/Co Ay Appellant Respondent No. 1 It(Ss)A No. 2016-17 Dcit, A. Shridhar Constructions 64/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad 2D, River View Apartments, Bh. Swastik Super Market, Ashram Road, Ahmedabad-380009 [Pan: Aafcs 0114 D] 2 Co No. 2016-17 A. Shridhar Constructions Dcit, 33/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 3 It(Ss)A No. 2017-18 Dcit, A. Shridhar Constructions 65/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad Ahmedabad-380009 [Pan: Aafcs 0114 D] 4 Co No. 2017-18 A. Shridhar Constructions Dcit, 34/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 5 It(Ss)A No. 2018-19 Dcit, A. Shridhar Constructions 66/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad Ahmedabad-380009 [Pan: Aafcs 0114 D] 6 Co No. 2018-19 A. Shridhar Constructions Dcit, 35/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 7 It(Ss)A No. 2018-19 Ss Realty, Dcit, 70/Ahd/2024 2D, River View Central Circle 2 (4), Apartments, Bh. Swastik Ahmedabad Super Market, Ashram Road, Ahmedabad-09 [Pan: Acofs 8827 P] 8 It(Ss)A No. 2020-21 Ss Realty, Dcit, 104/Ahd/2024 Ahmedabad-380009 Central Circle 2 (4), [Pan: Acofs 8827 P] Ahmedabad 9 It(Ss)A No. 2020-21 Dcit, Ss Realty, 155/Ahd/2024 Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Acofs 8827 P]

Section 153A

DCIT, Central Circle-2(4), Ahmedabad vs. A Shridhar Infracon LLP, Ahmedabad

In the result, the appeal of the Revenue is allowed for statistical purposes

ITSSA 101/AHD/2024[2019-20]Status: DisposedITAT Ahmedabad14 Sept 2026AY 2019-20

Bench: Dr. B.R.R. Kumar, Vice-Shri Rahul Chaudharysn It(Ss)A/Co Ay Appellant Respondent No. 1 It(Ss)A No. 2016-17 Dcit, A. Shridhar Constructions 64/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad 2D, River View Apartments, Bh. Swastik Super Market, Ashram Road, Ahmedabad-380009 [Pan: Aafcs 0114 D] 2 Co No. 2016-17 A. Shridhar Constructions Dcit, 33/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 3 It(Ss)A No. 2017-18 Dcit, A. Shridhar Constructions 65/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad Ahmedabad-380009 [Pan: Aafcs 0114 D] 4 Co No. 2017-18 A. Shridhar Constructions Dcit, 34/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 5 It(Ss)A No. 2018-19 Dcit, A. Shridhar Constructions 66/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad Ahmedabad-380009 [Pan: Aafcs 0114 D] 6 Co No. 2018-19 A. Shridhar Constructions Dcit, 35/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 7 It(Ss)A No. 2018-19 Ss Realty, Dcit, 70/Ahd/2024 2D, River View Central Circle 2 (4), Apartments, Bh. Swastik Ahmedabad Super Market, Ashram Road, Ahmedabad-09 [Pan: Acofs 8827 P] 8 It(Ss)A No. 2020-21 Ss Realty, Dcit, 104/Ahd/2024 Ahmedabad-380009 Central Circle 2 (4), [Pan: Acofs 8827 P] Ahmedabad 9 It(Ss)A No. 2020-21 Dcit, Ss Realty, 155/Ahd/2024 Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Acofs 8827 P]

Section 153A

DCIT, Central Circle-2(4), Ahmedabad vs. A Shridhar Infracon LLP, Ahmedabad

In the result, the appeal of the Revenue is allowed for statistical purposes

ITSSA 100/AHD/2024[2018-19]Status: DisposedITAT Ahmedabad14 Sept 2026AY 2018-19

Bench: Dr. B.R.R. Kumar, Vice-Shri Rahul Chaudharysn It(Ss)A/Co Ay Appellant Respondent No. 1 It(Ss)A No. 2016-17 Dcit, A. Shridhar Constructions 64/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad 2D, River View Apartments, Bh. Swastik Super Market, Ashram Road, Ahmedabad-380009 [Pan: Aafcs 0114 D] 2 Co No. 2016-17 A. Shridhar Constructions Dcit, 33/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 3 It(Ss)A No. 2017-18 Dcit, A. Shridhar Constructions 65/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad Ahmedabad-380009 [Pan: Aafcs 0114 D] 4 Co No. 2017-18 A. Shridhar Constructions Dcit, 34/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 5 It(Ss)A No. 2018-19 Dcit, A. Shridhar Constructions 66/Ahd/2024 Central Circle 2 (4), Pvt. Ltd., Ahmedabad Ahmedabad-380009 [Pan: Aafcs 0114 D] 6 Co No. 2018-19 A. Shridhar Constructions Dcit, 35/Ahd/2024 Pvt. Ltd., Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Aafcs 0114 D] 7 It(Ss)A No. 2018-19 Ss Realty, Dcit, 70/Ahd/2024 2D, River View Central Circle 2 (4), Apartments, Bh. Swastik Ahmedabad Super Market, Ashram Road, Ahmedabad-09 [Pan: Acofs 8827 P] 8 It(Ss)A No. 2020-21 Ss Realty, Dcit, 104/Ahd/2024 Ahmedabad-380009 Central Circle 2 (4), [Pan: Acofs 8827 P] Ahmedabad 9 It(Ss)A No. 2020-21 Dcit, Ss Realty, 155/Ahd/2024 Central Circle 2 (4), Ahmedabad-380009 Ahmedabad [Pan: Acofs 8827 P]

Section 153A