TaxTMI 
TaxTMI 
2023 (8) TMI 496
X X X X Extracts X X X X
X X X X Extracts X X X X
.... of income originally for the A.Y 2019-20 on 30.09.2019 admitting total income of Rs. 10,45,940/-. During the search and seizure operation a cash of Rs. 3,27,650/- was seized by the Hyderabad Police in the case of the assessee on 7.11.2018. A search action was conducted by the Investigation Wing u/s 132A on 23.7.2019 in connection with the search action conducted in the case of Shri Sunil Kumar Ahuja and his son Sri Ashish Kumar Ahuja. In response to the notice u/s 153A of the Act, the assessee filed his return of income on 18.2.2021 admitting total income of Rs. 10,45,940/-. The Assessing Officer issued statutory notices u/s 143(2) and 142(1) of the Act to which the AR of the assessee appeared before the Assessing Officer and filed the req....
X X X X Extracts X X X X
X X X X Extracts X X X X
....s completed by the Assessing Officer by treating the cash seized of Rs. 3,27,650/- as unexplained money u/s. 69A and adding to the income returned by the appellant. During the assessment proceedings, the appellant submitted the cash sales and cash expenses statement in support of the cash balance as on the date of cash found in his residence. The Assessing Officer had added the cash o! Rs. 3,27,650/- to the returned income after considering the submissions file by the appellant being devoid of evidences. During the course of appellate proceedings, it is observed from the ween submissions made by the appellant that the appellant had a total turnover of Rs. 2,91,78,961/- in FY 201/-18 and Rs. 7,67,11,861 /- in financial year 2018.19.....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... been addressed by the appellant in its submissions or grounds of appeal. The submission made by the appellant is generic of filing regular returns. The filing of income does not translate in to automatic cash in hand and further no evidence has been adduced by the appellant which reflects that the proper cash book with evidence was submitted to the Assessing Officer. It is also important to note that the appellant has a huge turnover but very thin margins, therefore the general availability of cash in hand has to be explained and the opening balance as on that year cannot be used for the cash found 07.11.2018. The appellant has even has not filed a simple extract of the cash book of the last month to even justify the cash in hand.....
X X X X Extracts X X X X
X X X X Extracts X X X X
....during the year was Rs. 7,67,11,862/ which shows that the assessee has enough source to have the cash balance of Rs. 3,27,650/-. 6. The Appellant may add or alter or amend or modify or substitute or delete and/or rescind all or any of the grounds of appeal at any time before or at the time of hearing of the appeal. " 6. The learned Counsel for the assessee strongly challenged the order of the CIT (A) in sustaining the addition made by the Assessing Officer. Referring to various pages of the paper book, he submitted that the assessee is in the business of more than 15 years and he is regularly filing his return of income for the past so many years. Referring to various pages of the paper book, the learned Counsel for the assessee....
X X X X Extracts X X X X
X X X X Extracts X X X X
....see on the date of Diwali and the Assessing Officer did not accept the contention of the assessee that the cash available with various family members is sufficient to explain the source of such cash. Relying on various decisions, he submitted that under identical circumstances, such type of addition made by the Assessing Officer as unexplained cash seized during the course of search has been deleted by the Tribunal. 8. The learned DR on the other hand, heavily relied on the order of the lower authorities. 9. We have heard the rival arguments made by both the sides, perused the orders of the AO and the learned CIT (A) and the paper book filed on behalf of the assessee. We have also considered the various decisions cited before us by bo....