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2019 (2) TMI 838 - AT - Wealth-taxReopening of wealth tax assessment - cash in hand appearing in balance sheet - Held that:- The assessee is a proprietary concern. The cash balance generated out of trading activity is treated as business asset and as such, business asset was not to be treated as cash in hand within the meaning of section 2(ea)(vi) of the Act. In our considered opinion, we hold that cash in hand referred to in section 2(ea)(vi) represents only the personal cash of the assessee emanating from his personal balance sheet. It nowhere contemplated the inclusion of cash which is held as business asset. Admittedly, the impugned cash in hand represents the cash belonging to business of the assessee and thereby partakes the character of business asset. Therefore, in our considered opinion, this ground of appeal of the assessee is allowed. In respect of property No. B-21/11 Gitanjali, New Delhi, it was an urban land and the construction was not allowed due to the illegal construction made by other co-owners. The AR of the assessee was unable to substantiate with cogent documentary evidence that the said property was being used for godown. The sanction plan was rejected because of the failure of MCD byelaws. If the assessee or the co-owner would have removed the encroachment or illegal construction of the property, the plan would have been sanctioned in favour of the assessee. Therefore, the plea of the assessee that construction is not permitted in the impugned plot is not tenable and rejected. No any evidence is placed before us to substantiate that the said property was being used for commercial purpose. Therefore, the ld. CIT(A) after considering the submissions of the assessee has rightly given relief to the assessee to the extent of loan taken from Allahabad Bank against this property. This ground is rejected. In respect of property No. C-5/34, SDA, New Delhi, it is evident from record that the property was purchased as per sale deed dated 20.03.2006 from Ashok Kumar Jain who had purchased it from late Mr. Anil Roy Chowdhary. The assessee submitted a bill issued by Royal Security Services (PB-42). The period of services is only for 22.03.2006 to 31.03.2006, but no any proof of payment made to this security services is produced. The case is for F.Y. 2005-06. Therefore, the contention of the assessee that the impugned property was being used for the purpose of business is not acceptable. The title deed of the property is in the name of assessee and there is no adverse order againt the assessee to dispute the title of the assessee. Therefore, the ld. CIT(A) has rightly decided this issue against the assessee.
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