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2021 (9) TMI 995 - ITAT DELHIBogus purchases - Proof of identity, genuineness and creditworthiness of the parties - CIT-A confirmed addition in name of only one party - HELD THAT:- Assessee during the appellate proceedings before the CIT(A) has filed details in respect of identity of the party, address of party, PAN details, mode of payment through banking channel along with copy of bank accounts as well as confirmations of the said accounts except in the case of purchases made from M/s Apex Marketing Company and the rest of the evidences related to each party were produced which was never doubted by the Assessing Officer when called for remand report. CIT(A) has given a categorical finding that the revenue has accepted the transactions from such parties in the past and the assessee had made purchases on regular basis and these were regular parties from preceding years. In fact the AO has taken cognizance of the opening balances of the purchases pertaining to earlier years which were not corresponding to year under consideration while making the addition. After perusal of the evidences it is found that the assessee has filed proper details before the Assessing Officer and has proved identity, genuineness and creditworthiness of the parties except the purchases made from M/s Apex Marketing Company. Thus, the CIT(A) was correct in reducing the addition to that extent - Decided against revenue.
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