Section 153A requires a nexus between seized materials & income additions: Orissa HC

Smrutisudha Nayak Vs Union of India and Others (Orissa High Court) Orissa High Court adjudicated on the validity of assessment proceedings initiated under Section 153A of the Income Tax Act following a search and seizure operation. The case involved a petitioner, director of Sambit Resorts Pvt. Ltd., whose residence and bank locker were searched in 2007. While no incriminating material was found, notices were issued in 2009 for six preceding assessment years. The petitioner challenged the initiation of these proceedings and the retrospective amendment to Section 132(1), which authorized the Ad...