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TMI Blog2017 (9) TMI 1535X X X X Extracts X X X X X X X X Extracts X X X X ..... a deposit in PD A/c under the control of the Department. The interpretation of the provisions of the Wealth Tax Act by the learned CIT (A), in our opinion, is therefore, misplaced. The money belonging to the assessee was lying in the P.D A/c of the CIT as on the valuation date for appropriation in accordance with section 132B of the Act. Thus, it is not under the free control of the assessee. Therefore, cash in hand in excess of ₹ 50,000 found and seized by the Department from the premises of the assessee is not taxable under the Wealth Tax Act. - Decided in favour of assessee. - WTA No. 80/Hyd/2016 - - - Dated:- 27-9-2017 - Smt. P. Madhavi Devi, Judicial Member And Shri S.Rifaur Rahman, Accountant Member For Assessee : Shri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d an appeal before the CIT (A) who upheld the assessment of the cash seized and also the undisclosed investment in the flat at Warangal. Aggrieved by the order of the CIT (A), the assessee is in appeal before us. 3. The learned Counsel for the assessee submitted that the valuation date in the case of the assessee for the relevant A.Y is 31.03.2009 and according to him as on that date, the assessee had no cash in hand as is required under clause (vi) of section 2(ea) of the Wealth Tax Act. He submitted that the cash seized from the assessee was deposited in the P.D. A/c of the Department and therefore, was not available with the assessee as on the valuation date and hence it cannot be considered as the wealth of the assessee. He has drawn ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uired to be included in his net wealth as on that date under this Act, is in excess of the aggregate value of all the debts owed by the assessee (on the valuation date which have been incurred in relation to the said assets). For applying the above provisions, we have to first examine whether the above provisions are applicable to the assessee. Undisputedly, the assessee is an individual. Now the next question for consideration is whether the cash which has been found and seized from the premises of the assessee and has been deposited in the P.D A/c of the CIT is the cash in hand under clause (vi) of section 2(ea) of the Act. The stand of the Department is that it is holding the said money as a custodian of the assessee and has no powers to ..... X X X X Extracts X X X X X X X X Extracts X X X X
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