2025 (11) TMI 551

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....7,500/- made by AO is wholly illegal, unlawful and against the principles of natural justice. 1.2 The Ld CIT(A) has grievously erred in law and or on facts in not considering fully and properly the eccentric facts and evidence available with regard to the impugned addition. 1.3 The Ld. CITIA) has grievously erred in law and on facts in not carrying out any inquiry with regard to the applicability of the provisions of Income tax Act and thereby violated the principle of natural justice Therefore the appellant shall be granted opportunity to produce additional evidences. 2.1 The Ld CITIA) has grievously erred in law and facts in upholding the addition of Rs. 26,57,500/- u/s 69A when the appellant has clearly demonst....

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....en it can be clearly demonstrated that the alleged amount of cash as generated out of business activity only and therefore, it is not headless income. 3.3 The Ld. CIT(A) has failed to appreciate that provisions of section 115BBE can be applied only when the head of the income is not determined. 3.4 The Ld. CIT(A) has failed to appreciate that before applying the provisions of section 115BBE, the AO has not issued any specific show cause notice and granted to opportunity to explain the facts which led to mechanical application of the provision which is not permitted under the Act. 4.1 The Ld. CIT(A) has grievously erred in law and or on facts in not granting opportunity of being heard through video conferencing. ....

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..... 1,85,250/- with monthly balance of cash as incorporated in para 7 of the assessment order. The Assessing Officer further issued the show cause notice dated 25-09-2019 which was responded by the assessee on 01-10-2019. The assessee again has given the month-wise sales and purchase details and after taking cognizance of the same, the Assessing Officer held that since the assessee has not filed ITR, the deposit of cash of Rs. 26,57,500/- during demonetization period remains unexplained. Thus, the Assessing Officer made addition to that extent as unexplained money u/s. 69A of the Act. The Assessing Officer also made addition to the extent of Rs. 11,11,800/- as NP of the assessee estimating the same at 8%. 4. Being aggrieved by the assessme....

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....inent to note that the addition made by the Assessing Officer at Rs. 26,57,500/- u/s. 69A is properly adjudicated by the CIT(A). The CIT(A) categorically held that out of total cash deposited that of Rs. 1,20,58,600/- shown in the table as mentioned in para 6.2 of the order Rs. 26,57,500/- was added u/s 69A as unexplained cash in the hands of the assessee. The CIT(A) further held that the remaining amount of cash then stands at Rs. 94,01,100/- and further the non cash credits in the table has shown at Rs. 94,01,100/-. This finding does not require any interference. But the findings of the CIT(A) that tax cash deposits in the bank account as reduced by Rs. 26,57,500/- @ 8% and tax the credits other than cash @ 6% as per provisions of Section....