Law:

Section:

Section 158B, read with sections 158BC, 158BD and 158BI, of the Income-tax Act, 1961 - Block assessment in search cases - Undisclosed income - Block period 1-4-1985 to 4-1-1996 - Assessee-firm, which was engaged in business of purchase and sale of greeting cards and other stationery items, was a sister concern of certain industry - A search was conducted in premises of said industry on 4-1-1996 in which books of account of assessee were seized and, thereafter, business premises of assessee was also surveyed under section 133A - During course of survey, value of closing stock available with assessee was quantified at Rs. 87,203 - Later, Assessing Officer on noticing that value of closing stock was Rs. 40,881, issued notice under section 158BC, read with section 158BD for block period 1-4-1985 to 4-1-1996, and thereafter made addition of Rs. 27,160, being value of unaccounted stock for block period - Tribunal, however, held that section 158BC, read with section 158BD would not apply to facts of instant case and set aside order of Assessing Officer - Whether provisions of Chapter XIV-B which deals with special procedure for assessment of search cases are applicable to searches which are made before 31-5-2003 - Held, yes - Whether since in instant case search commenced on 4-1-1996, up to that period it was block period as defined in clause (a) of section 158B and, therefore, provisions of section 158BC, read with section 158BD would apply to facts of instant case - Held, yes FACTS The assessee-firm which was sister concern of certain industry was engaged in the business of the purchase and sale of the greeting cards and other stationery items. A search was conducted in the business premises of said industry under section 132 on 4-1-1996 where the books of account of the assessee were seized. Therefore, the business premises of the assessee was also surveyed under section 133A. During the course of survey, the value of the closing stock available with the assessee was quantified at Rs. 87,203. Later, the Assessing Officer issued a notice under section 158BC, read with section 158BD, for the block period 1-4-1985 to 4-1-1996. The assessee in response to the said…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492