TaxTMI 
TaxTMI 
2022 (7) TMI 793
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.... on the submissions made by the assessee's representative, the Ld. AO concluded that the assessee has received excess cash of Rs. 92,47,500/- and has deposited the same into the bank account which is a joint account along with his daughter. The Ld. AO treated these cash credits as unexplained money in terms of provisions of section 69A of the Act and accordingly proposed to assessee the same U/s. 115BBE of the Act. The Ld. AO also noticed that cash deposits of Rs. 1.65 Crores during the period of demonetization in the bank account of the assessee and concluded that since the assessee failed to establish the sources of cash deposits, the same was treated as unexplained money as per the provisions of section 69A and accordingly assessed to tax U/s. 115BBE of the Act. Aggrieved by the order of the Ld. AO, the assessee filed an appeal before the Ld. CIT(A)-10, Hyderabad. The assessee has raised certain additional grounds also before the Ld. CIT(A) which are interlinked with the original grounds and admitted by the Ld. CIT(A). Before the Ld.CIT(A), the assessee's representative made various submissions and explained that there is no other source for the assessee to earn huge amount of R....
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.... that cash withdrawals were made for the intended purchase of property and since it did not materialize the cash was redeposited in the bank account. 4. On the facts and in the circumstances of the case, the Ld. CIT(A) has erred in accepting the contention of the assessee that cash withdrawals made were made for the purpose of investment in lands as probability without appreciating the fact that the assessee has been indulging in cash withdrawals even though there was no utilization of the cash withdrawn earlier and therefore the cash flow statement furnished by the assessee to explain the source of cash deposit of Rs. 1,65,00,000 post demonetization was wholly unreliable." 4. The Ld. DR argued that there is a delay of 184 days and it is covered by COVID period and hence pleaded for condonation of delay. As per the decision of the Hon'ble Supreme Court in SMW(A) No.3 of 2020, the period of limitation for filing the appeals under general laws and all special laws falling between 15/3/2020 and 28/02/2022 shall be excluded for calculating the delay. Considering the same, we hereby condone the delay of 184 days in filing the present appeal before the Tribunal and proceed to....
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....amount in his brief stay in India which is for the purpose of the registration of the sale deed. The Ld. AR therefore vehemently argued that the amount of Rs. Rs. 92,47,500/- is on money transaction for the sale of agricultural land only and hence section 69A cannot be invoked. The Ld. AR referred to the case CIT vs. Intezar Ali [2015] 372 ITR 651 (All). The Ld. AR also relied on various decisions of the Coordinate Benches of the Tribunal as detailed in the paper book. 8. The Ld. AR on the issue of depositing cash of Rs.1.65 Crs into the bank account of the assessee submitted that the assessee had withdrawn this amount from his NRO account maintained with SBH and Kotak Mahindra Bank for the purpose of acquiring agricultural land in Amaravathi area. Since the land could not be identified and consequent to announcement of demonetization the assessee had no option but to deposit the amount withdrawn into the same bank account of the assessee. The Ld. AR also pleaded that there was a practical difficulty in depositing the cash in one instance and hence the assessee had deposited in three instances. The Ld. AR also submitted that cash book was maintained by the assessee and sufficien....
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....e assessee has withdrawn from his NRO account a sum of Rs. 1.70 Crores as detailed below: "10.2. The sources for the above deposits were claimed to have been out of the cash in hand available as on the date of deposits which got accumulated from cash withdrawals made from NRE account (740010192533) held with Kotak Mahendra and SB Account (62140567829) held with SBH during the period from 1/9/2016 to 17/10/2016. SBH Account No. 62140567829 Date of withdrawal Amount (Rs.) 1/9/2016 9,00,000 1/9/2016 9,00,000 1/9/2016 7,00,000 Total 25,00,000 Kotak Mahindra Bank Account 740010192533 Date of withdrawal Amount (Rs.) Account type 1/9/2016 70,00,000 NRO 20/9/2016 25,00,000 NRO 17/10/2016 50,00,000 NRE 12. Similarly, we note that the cash deposits of Rs. 1.65 Crs was made during the demonetization period as detailed in para 10.1 of the AO order which is reproduced below: "10.1. The assessee has made cash deposits of Rs. 1,65,00,000 during the period of demonetization in the following bank accounts. Sl No. Name of the Bank Bank Account No. Amount deposited Date of deposited....