TaxTMI 
TaxTMI 
TaxTMI 
2022 (11) TMI 199
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....has raised the following grounds of appeal: "1. On the facts and circumstances of the assessee as well as law on the subject, the learned Commissioner of Income Tax (Appeals) has erred in confirming the action of assessing officer in making addition of Rs.8,24,191/- as unexplained cash credit u/s 68 of the Act. 2. It is therefore prayed that above addition made by assessing officer and confirmed by Commissioner of Income-tax (Appeals) may please be deleted." 2. Perusal of record shows that Ld. CIT(A) passed the impugned order on 01.03.2019, however, the present appeal is filed on 21.05.2020, thus there is substantial delay in filing of appeal before the Tribunal. The Registry of this Tribunal has issued defect memo to the assessee, nar....
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....The Ld. AR for the assessee submits that part of delay period from the month of March to May 2020 is already covered by the decision of Hon'ble Apex Court in suo motu Writ Petition (C) No.3 of 2020 has already allowed a period of limitation till from 15.03.202 to 01.03.2022 and further 90 days' period was granted to file appeal before various courts. The Ld. AR for the assessee submits that when technical composition at cause of substantial justice are fitted against each and the cause of substantial justice must prevail. The ld. AR for the assessee further submits that assessee is a senior and law binding citizen and never committed similar mistake in past. For the year under consideration, the assessee was not at all aware about the p....
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....appeal for hearing. Now adverting the merits of the case. 6. Brief facts of the case are that during the assessment proceedings, the assessee officer noted that assessee has shown income under section 44AD of the Act. In the income shown under section 44AD, it is mandatory to show the details of sundry creditors, sundry debtors, total stock-in-trade and amount of cash in hand (balance) as on last day of financial year. During the assessment proceedings, the submitted copy of Income tax return, computation of income and other required details on 30.08.2016. In the computation of income, the assessee has shown opening cash balance as on 01.04.2013 at Rs.8,24,191/-. However, there was no such closing cash balance shown in the preceding assess....
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....he assessee besides reiterating the submission made before the Assessing Officer also contended that Assessing Officer made huge addition of entire opening cash balance by treating it as unexplained cash credit. The assessing officer has not verified the complete facts of the case of assessee in assessment years 2011-12 and 2012-13, wherein the assessee has shown cash balance of Rs.1,34,171/- and Rs.3,05,483/- respectively. The assessee also furnished cash balance in subsequent assessment years also and tried to impress that not showing the cash balance as on 31.03.2013 was a bona fide mistake. The assessee further stated that in the income-tax return filed for assessment year 2014-15, the assessee has shown cash balance of Rs.4,56,732/-. ....
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....showing income on presumptive basis under section 44AD. The assessee is not required to maintain his books of account. This fact is accepted by Assessing Officer. When assessee's books of account are not maintained by the assessee, then question of making addition under section 68 of the Act does not arise. There was a bona fide mistake in not mentioning the cash-in-hand at the end of 31.03.2014. The Ld. AR for the assessee shows the returns of income for assessment years 2010-11 to 2016-17 respectively; in assessment year 2010- 11, the assessee has shown cash-in-hand of Rs.2,64,707/-; in assessment year 2011-12 the assessee has shown cash-in- hand of Rs.1,34,171/-; in assessment year 2012-13, the assessee has shown cash-in-hand of Rs.3,05,....
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....have gone through the orders of lower authorities carefully. I find that Assessing Officer made the addition by taking view that there was no closing cash balance in hand in the preceding assessment year as the assessee has himself has shown cash in hand as 'zero'. The assessing officer treated such opening balance as unexplained cash credit under section 68 of the Act. The Ld. CIT(A) confirmed the action of Assessing Officer by holding that the if any error occurred, it was the duty of assessee to file revised return of income, the that it is a typographical mistake is devoid of merit. The assessee himself has disclosed nil cash balance as on 31.03.2013, so no stretch of imagination the opening cash balance as on 01.04.2015 can be taken at....