1. Exemption allowed subject to all just exceptions.
2. The application is disposed of.
I.T.A. Nos. 274 of 2016 and 276 of 2016
3. These appeals by the Revenue are, under section 260A of the Income-tax Act, 1961 (“Act”), against the common judgment dated May 29, 2015 passed by the Income-tax Appellate Tribunal (“ITAT”) in I.T.A. Nos. 2140/Del/2008 and 2141/Del/2008 for the assessment years (“AYs”) 1998-99 and 1999-2000.
4. By the impugned order, the Income-tax Appellate Tribunal dismissed the appeal of the assessee and allowed the cross objections of the assessee.
5. The short point involved is whether the Income-tax Appellate Tribunal was correct in concluding that there had to be inciminating material recovered during the search qua the assessee in each of the years for the purposes of framing an assessment under section 153A of the Act?
6. It is not in dispute that in respect of the respondent-assessee for the assessment years in question the initial assessment proceedings took place under section 143(3) of the Act.
7. Thereafter they were sought to be reopened by issuing notice under section 147 of the Act and reassessment orders were passed under section 147 read with section 143(3) of the Act. During both the aforementioned proceedings the question whether the gold and silver utensils were the capital assets or personal effects of the assessee was examined. They were held not to be the personal effects.
8. It has been noticed by the Income-tax Appellate Tribunal in the impugned order that for the assessment years in question no incriminating material qua the assessee was found.
9. In that view of the matter, and in light of the decision of this court in Commissioner Of Income Tax (Central)-Iii v. Kabul Chawla, [2016] 380 ITR 573 (Delhi), the court is of the view that the impugned order of the Income-tax Appellate Tribunal suffers from no legal infirmity and no substantial question of law arises for determination.
10. The appeals are dismissed.”