Search Assessment shall be Computed u/s 153 of Income Tax, not u/s 147: ITAT quashes Assessment order

The ITAT has quashed an assessment order, ruling that assessments made following a search operation must be conducted under Section 153 of the Income Tax Act, rather than Section 147. The case involved a dispute over the correct legal provision to be applied in post-search assessments. The tribunal held that the tax authorities had incorrectly invoked Section 147, leading to the quashing of the assessment. This ruling clarifies the legal procedures to be followed in search-related assessments and ensures that tax authorities adhere to the correct provisions of the law. The decision is crucial for maintaining the integrity of search assessments.