TMI Blog2015 (9) TMI 226X X X X Extracts X X X X X X X X Extracts X X X X ..... me is not required to be granted. In any case, application of the petitioner for release of the cash is pending before the appropriate authority / concerned AO, Palanpur office and considering proviso to section 132B of the IT Act, it is ultimately for the concerned AO to pass appropriate order on the application of the petitioner for release of the cash. It appears that no order has been passed by the concerned AO on the application submitted by the petitioner for release of the cash seized / requisitioned. Under the circumstances, the concerned AO is to be directed to pass appropriate order in accordance with law and on merits on the application submitted by the petitioner for release of the cash seized / requisitioned considering proviso to Sub-section (1) of Section 132(B) of the IT Act.However, considering the fact that no order has been passed by the concerned AO on the application submitted by the petitioner to release the cash requisitioned / seized, considering the proviso to section 132B of the AO (Palanpur office) is hereby directed to pass appropriate order on the said application in accordance with law and on merits considering proviso to section 132B of the IT Act, wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mount of advance tax on the same may be deducted and/or appropriated. That thereafter, after filing affidavit to the aforesaid effect on 2/9/2013, the petitioner requested to release the balance amount. However, thereafter, no order is passed and therefore, the petitioner has preferred the present Special Civil Application for the aforesaid reliefs. 3.00. Mr. B.S. Soparkar, learned advocate appearing on behalf of the petitioner has vehemently submitted that the impugned action of the respondent in not releasing the cash of ₹ 32,64,560/- is patently bad and illegal. It is submitted that the action of the respondents is completely arbitrary, unjust and high handed. It is submitted that the respondent ought to have appreciated that the petitioner has duly explained the source of cash and also shown his willingness to pay advance tax on the said amount in the year 2014-2015 vide his letter dated 2/9/2013 and therefore, as such, now there is no legal and valid reason to continue to seize the cash amount of ₹ 32,64,560/-. 3.01. Mr. Soparkar, learned advocate appearing on behalf of the petitioner has further submitted that the respondent could not have exercised the powe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... x (Inv), Ahmedabad on the same day, informed that the police authorities have intercepted Mr.Jinkal Dineshbhai Virvadiya (Shah) the petitioner and found carrying cash of ₹ 32,64,560/- on 1/9/2013. The information was passed to the department for verification from Income Tax perspective. After receiving information from the Police Inspector, Dariapur Police Station, a copy of Panchnama and statements of the person recorded by police were obtained from them. On perusal of the same it was found that the petitioner has admitted before the Police Authorities that he is working as Diamond Broker and was doing business since last 2 months from the office situated at 122, 2nd Floor, Kalupur Kabootarkhana, Chaokha Bazar, Ahmedabad and the amount of ₹ 32,64,560/- was put of his personal savings and from brokerage of Diamond. As per his statement, he was carrying the cash of ₹ 32,64,560/- to establish new business. However, he could not produce any evidence in support of his claim. (ii) That to verify the genuineness of the claim, a summons under section 131(1A) of the IT Act was issued to the petitioner to furnish the evidence in support of his claim. The petitioner at ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e case rests with him. 4.02. Now, so far as the prayer of the petitioner to release the balance amount of cash after deducting tax on ₹ 34,70,012/- is concerned, it is submitted that considering provisions of Section 153A, the same is not required to be granted. It is submitted that as per Section 153A of the IT Act, upon authorisation having been issued under section 132A, assessment of total income in respect of six assessment years is required to be carried out. It is submitted that in the present case the concerned AO is required to assess total income of the petitioner in respect of each assessment year falling within six assessment years and thereafter final assessment will be quantified which will include tax, interest and penalty. It is submitted that in the present case, in any case, as no order has been passed by the concerned AO, (Palanpur office) on the application submitted by the petitioner, considering the proviso to section 132B of the IT Act, it is requested to pass appropriate order directing the concerned AO (Palanpur office) to pass appropriate order on the application submitted by the petitioner to release the cash considering the proviso to section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... has been passed by the concerned AO on the application submitted by the petitioner for release of the cash seized / requisitioned. Under the circumstances, the concerned AO is to be directed to pass appropriate order in accordance with law and on merits on the application submitted by the petitioner for release of the cash seized / requisitioned considering proviso to Sub-section (1) of Section 132(B) of the IT Act. 6.00. In view of the above and for the reasons stated above, so far as challenge to the authorisation under section 132A of the Act and requisition / seizure of ₹ 32,64,560/- is concerned, present petition is dismissed. However, considering the fact that no order has been passed by the concerned AO on the application submitted by the petitioner to release the cash requisitioned / seized, considering the proviso to section 132B of the AO (Palanpur office) is hereby directed to pass appropriate order on the said application in accordance with law and on merits considering proviso to section 132B of the IT Act, within a period of 12 weeks from today. It is observed that, in case, the proceedings are transferred to any other AO, in that case the concerned AO at Pa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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