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2023 (6) TMI 565 - ITAT DELHIReopening of assessment u/s 147 - reasons to believe - independent application of mind or borrowed satisfaction - bogus purchase on account of inflation of purchase price - contention of the assessee that the Ld. AO issued notice purely on borrowed satisfaction of DCIT, Central Circle-4, Surat without application of independent mind - HELD THAT:- Assessee had filed objections for initiation of proceedings by issue of notice u/s148 and AO met the objections by passing a speaking order in accordance with GKN Drive Sharft (India) [2002 (11) TMI 7 - SUPREME COURT] case - Assessee contention that AO issued notice purely on borrowed satisfaction of DCIT, Central Circle-4, Surat without application of independent mind has also been found to be without merit by the Ld. CIT(A). Reopening of assessment has taken place after following due procedure as per law. We decline to interfere. Estimation of income - Bogus purchases - Finding of AO/CIT(A) is that the assessee did purchase goods without bills from some other suppliers otherwise sales could not be effected and that he has been benefitted by providing margin of grey market - AO/CIT(A) instead of treating the entire impugned purchases as bogus and adding the same to the income of the assessee restricted the addition to 25% of such purchases following the decision in Vijay Protein Ltd [2015 (1) TMI 828 - GUJARAT HIGH COURT] and Sanjay Oil Cake Industries [2008 (3) TMI 323 - GUJARAT HIGH COURT] The above findings remain uncontroverted before us. No infirmity in the order of the Ld. CIT(A) and sustain the same. Assessee appeal dismissed.
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