DCIT Vs Goldline International Finvest Limited (ITAT Delhi)
Date of Handover, Not Date of Search: Revenue Loses 153C Battle- Ten-Year Wall Holds Firm: Old AYs Safe from 153C Net
In DCIT Vs. Goldline International Finvest Ltd., ITA Nos.2898 & 2899/Del/2025, AYs 2011-12 & 2012-13, order dated 31.12.2025, Delhi ITAT dismissed Revenue’s appeals & upheld quashing of 153C assessments as time-barred beyond ten years.
Search u/s 132 was conducted in Alankit Group on 18.10.2019. Based on alleged incriminating material, satisfaction notes were recorded in June 2022 & notice u/s 153C was issued to Assessee on 25.06.2022. AO completed assessments u/s 153C r.w.s. 153A on 14.02.2024 for AYs 2011-12 & 2012-13. CIT(A) quashed assessments holding that both years fell outside permissible block of ten AYs.
Tribunal affirmed CIT(A)’s view by relying on Delhi HC in PCIT Vs. Ojjus Medicare Pvt. Ltd. (2024 SCC OnLine Del 2439) read with SC in CIT Vs. Jasjit Singh (2023 SCC OnLine SC 1265). It was held that for non-searched person, computation of six-year & ten-year block u/s 153C must be reckoned from date of handover/recording of satisfaction, not from date of search. Since satisfaction/notice fell in FY 2022-23, relevant AY was AY 2023-24 & backward ten-year block ended at AY 2014-15. Consequently, notices for AYs 2011-12 & 2012-13 were clearly beyond limitation, rendering assessments void ab initio. Revenue’s appeals were therefore dismissed.
FULL TEXT OF THE ORDER OF ITAT DELHI
These two appeals are filed by the revenue against the different orders of the Ld. Commissioner of Income Tax (Appeals)-25, Delhi for the A.Y. 2011-12 and 2012-13.
