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2018 (2) TMI 1957 - ITAT MUMBAIReopening of assessment u/s 147 - bogus purchases - Assessing Officer received the information from Sales Tax Department -HELD THAT:- Assessing Officer was not having any information at that time because the Assessing Officer received the information from DGIT(Inv.), Mumbai vide letter dated 26.02.2013. When the Assessing Officer was not having any information as on 15.02.2013, therefore, it is strange in which circumstances, the Assessing Officer issued the present notice on the information received through letter dated 26.02.2013 as on date 15.02.2013. The personal knowledge of the Assessing Officer could not be the ground to invoke the proceeding u/s 147/148 of the I.T. Act. Therefore, in the said circumstances the noticed doesn’t seems to be legal. It is held in the case of CIT Vs. Kurban Hussain Ibrahimji Mithiborwala [1971 (9) TMI 9 - SUPREME COURT] that the notice issued for any invalid reason makes the proceeding void an without jurisdiction - Since the notice is not justifiable and is not in accordance with law, therefore, we set aside the notice u/s 147/148 of the Act. Accordingly, this issue is being decided in favour of the assessee against the revenue. Bogus purchases - addition confirmed by CIT(A) @ 6% - HELD THAT:- In the instant case, when the assessee has adduced the sufficient evidence on record which has been discussed above, therefore, in the said circumstances, we are of the view that the no addition is required to be made on account of bogus purchase. Non service of noticed is not a ground to raise the addition of bogus purchase to the income of the assessee in view of the law settled in CIT Vs. M/s. Nikunj Eximp Enterprises P. Ltd. [2013 (1) TMI 88 - BOMBAY HIGH COURT] On seeing the above facts and circumstances of the present case and in view of the law settled relied by the Ld. Representative of the assessee, we are of the view that the no addition is required to be raised in the instant case. We ordered accordingly, we decide this issue in favour of the assessee Disallowance of the television expenses, vehicle expenses, conveyance expenses, office & staff welfare expenses - AO restricted the addition to the extent of 10% on the basis of personal element - HELD THAT:- At the time of the argument the Ld. Representative of the assessee nowhere produced any other cogent evidence in support of his claim. On account of non producing the sufficient evidence in support of the claim, we are of the view that the CIT(A) has rightly restricted the claim to the extent of 10% of the expenses of ₹ 1,34,474/-. Therefore, this issue is being decided in favour of the revenue against the assessee.
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