Revenue Appeal Absence of Incriminating Material

The Bangalore Bench of the Income Tax Appellate Tribunal dismissed Revenue appeals for Assessment Years 2017-18 to 2020-21 and held that additions under Sections 153A/153C could not survive in the absence of incriminating material discovered during search proceedings. 

The Tribunal further held that Section 45(5A) governing taxation of Joint Development Agreements is prospective in operation and cannot be invoked for agreements executed prior to 01.04.2018.