TMI Blog2021 (1) TMI 905X X X X Extracts X X X X X X X X Extracts X X X X ..... s hereby directed to be deleted. In the result, the appeal of the assessee is allowed. Addition u/s 69A - Addition based on assessee's statement recorded u/s 132(4) - THAT:- Except at one place where savings have been written against the amount of ₹ 876,197, there is no mention of any particulars in terms of nature of transactions, parties with whom the transactions were undertaken, the date of such transactions, etc. Even the AO in the assessment order at para 5 of his order has stated that it appears to be payment received in cash by the assessee . Even there is no question which has been raised to the assessee as part of his statement recorded u/s 132(4) - where the AO himself is not clear about the nature of transaction which is the very foundation for determination of taxability of such transaction, the tax liability on such transaction cannot be fastened on the assessee. At the same time, the document so found reveal some work done by the assessee and given that the assessee is in the diary business, the net savings so determined can reasonably be related to the diary business already disclosed in the return of income in absence of any finding or corroboration ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hence, not relevant. However ignoring the submissions of the assessee, an amount of ₹ 2,35,000/- (Kalu tauji- ₹ 1,10,000/-, Raj Kumar ji- ₹ 20,000/-, Surajmal Yadav- ₹ 1,05,000/-) was added to the total income of the assessee which on appeal has been confirmed by the ld CIT(A) and against the said findings, the assessee is in appeal before us. 4. It was submitted by the ld AR that the entries in the diary are not in the handwriting of the assessee nor the assessee is aware of any such amount given or taken and during the course of assessment proceedings itself, the assessee has disowned the entries made in the diary. It was submitted that the entries in this diary were made by Shri Jitendra Yadav, son of the assessee who is employed with the Railway Department. Every specific submission was made before AO dated 01.05.2018 which read as under: Explanation on amount of ₹ 260000/- appearing on Exhibit No. 2/Page no. 20, 21 backside thereof: Your goodself has asked to explain some cash receipts of ₹ 260000/- appearing on Page no. 20, 21 backside of 21 of Exhibit 2. In this regard, please note that firstly we are unable to find any sum of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Exhibit No. 2 seized from the premises of the assessee where certain entries of amount given/taken in cash has been written. It is also a fact that no question was asked from the assessee regarding these transactions as part of his statement recorded u/s 132(4) of the Act. During the assessment proceedings, the assessee was asked to explain the said entries and the assessee explained that the said entries were not in his handwriting and were made by his son, Shri Jitendra Yadav and an affidavit of Shri Jitendra Yadav was also filed where he has owned up the entries and the transactions so reflected therein as made by him relating to family transaction and expenses. The Revenue has not brought any evidence or finding disputing the contents of the said affidavit and the same thus remain unrebutted before us. In light of above, where Shri Jitendra Yadav has owned up the entries and the transactions, the assessee has successfully discharged the onus cast on him and the presumption u/s 132(4A) cannot be drawn against him. In the result, there is no basis for impugned addition in the hands of the assessee and the same is hereby directed to be deleted. In the result, the appeal of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rticle and such money, bullion, jewellery or valuable article is not recorded in the books of account, if any, maintained by him for any source of income, and the assessee offers no explanation about the nature and source of acquisition of the money, bullion, jewellery or other valuable article, or the explanation offered by him is not, in the opinion of the Assessing Officer, satisfactory, the money and the value of the bullion, jewellery or other valuable article may be deemed to be the income of the assessee for such financial year. 11. It was submitted that a perusal of above provision would show that this specific provision can only be applied where the assessee is found to be owner of any money, bullion, jewellery or other valuable article. However in the present case, not a single rupee unexplained money has been found from the possession of the assessee nor there is any seizure of unexplained money, bullion, jewellery or other valuable article. Therefore, in absence of any physical finding of such unexplained money, bullion, jewellery or other valuable article, the provisions of this section cannot come into picture. The application of section 69A by the AO is extremel ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he ld. DR submitted that there was seized document found from the premises of appellant and the AO has given detailed reasons as para 5.3 of his order wherein the assessee has accepted the net savings of ₹ 8,76,197/- and basis the same, the addition has been made u/s 69A of the Act. He accordingly supported the findings of the lower authorities. 17. We have heard the rival contentions and perused the material available on record. At the outset, the ld. AR on behalf of the assessee submitted that the assessee doesn t want to press ground no. 1 of his appeal, hence the same is dismissed as not pressed. Regarding ground no. 2, we refer to seized document marked as page 15 of exhibit no. 2 and find that the same contains certain figures, however, except at one place where savings have been written against the amount of ₹ 876,197, there is no mention of any particulars in terms of nature of transactions, parties with whom the transactions were undertaken, the date of such transactions, etc. Even the AO in the assessment order at para 5 of his order has stated that it appears to be payment received in cash by the assessee . Even there is no question which has been raised ..... X X X X Extracts X X X X X X X X Extracts X X X X
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