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2016 (5) TMI 1275 - ITAT MUMBAIAddition made u/s. 68 - Held that:- The assessee has purchased goods worth ₹ 24.23 lakhs from M/s Ascent enterprises and has made a payment of ₹ 12.24 lakhs leaving a balance of ₹ 11.99 lakhs as the amount due to M/s Ascent Enterprises. This outstanding balance alone has been assessed as unexplained credit by the AO and the same has been confirmed by the Ld CIT(A). The reasoning given by the Ld CIT(A) to confirm this addition is that the name of M/s Ascent Enterprises finds place in the list of Hawala traders. The ingredients for making addition u/s 68 are different from the ingredient for making addition towards bogus purchases. However, the addition made u/s 68 is liable to deleted, since part of the transactions have been accepted by the AO. The addition towards bogus purchases cannot also be sustained, since parts of the purchases have been accepted and further no enquiry has been conducted to prove the bogus nature of purchases. Accordingly, we set aside the order of Ld CIT(A) and direct the AO to delete this addition. - Decided in favour of assessee Addition made u/s 40(a)(ia) - retrospectivity - Held that:- We set aside the order passed by Ld CIT(A) on this issue and restore the same to the file of the AO with the direction to examine the same afresh in the light of decision in the case of CIT Vs. Ansal Land Mark Township P Ltd [2015 (9) TMI 79 - DELHI HIGH COURT] and the newly inserted proviso to sec. 40(a)(ia) and take appropriate decision in accordance with the law. - Decided in favour of assessee for statistical purposes.
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