New User / Register || Book Marks || Annual Subscription || Feed Back ||
Login: Stay
|| Forget Password ||
     
TMI - Tax Management India. Com  

Recent Discussionss:

Second hand equipment with EPCG Licence S TAX DEDUCTION IS SALES TAX / VAT APPLICABLE FOR TRANSPORTERS. Clearance of goods to 100% EOU Unit in SEZ under ARE3 -Reg. Service tax applicability on Directors remuneration valuation of goods and ED on scrap Two companies in different states Import of Service i.e. Payment to architect of Dubai for construction of House in India Service Tax Payment on GTA Necessity of RD 23 D
 
Discussions Forum
Home Forum Income Tax Month 10 2009 2009 (10) This
← Previous Next →
 

Case laws - bogus purchases - Income Tax

 
Issue Id: - 1558
Dated: -23-10-2009
By:- GYAN JAIN
Case laws - bogus purchases

Case laws on bogus purchases in favour of assessee Case law: 16 DTR 278 CIT V/s SINUJA FOODS P LTD (2008 (10) TMI 61 - HIGH COURT RAJASTHAN)

Post Reply
 
Previous Posts


Dated: - 23-10-2009
By: - Rama Krishana
There may be many factors which have contributed for getting the cas in favor of assessee. As you have described in your query it is case of bogus purchase. I like to suggest that you, if the case is at assessment stage, you must focus on facts of the case instead of reference to any case laws. Once you put a case law before AO, he may take the note the that case and may make the observattions more stronger after removing the weakness in the case.



Dated: - 24-10-2009
By: - GYAN JAIN
Case is alredy decided and ar appeal stage Case law citation :16DTR278 , CIT V\S SINUJA FOODS LIMITED required



Dated: - 28-10-2009
By: - DEV KUMAR KOTHARI
Bogus purchases are definately disallowable. However, there is difference in bogus and suspected purchases. If it is a case of suspecion in mind of authoriteis, you must clear their suspecion by giving evidence - purchase order, purchase memo= bill , cash memo, challn etc. CNote etc. as delivery evidence as may be applicable, delivery received- entry in GR register and /or stock register, consumption or sale of goods suspected, revenue therefrom credited in P & l a/c ec. External and third party evidences like transporters note, insurance policy cover, etc. ill be highly useful. A party who supplied goods, may not be available, may not co=operate, that does not mean that goods were not purchased. It is function of the revenue authorites to catch hold of such parties and not to penalise the party who is availabel for harrassment in course of assessment or appeal etc. If purcahse is establsihed, it cannot be bogus. The supplier may be a fly-by- night party or a person who has changed business, location etc. Those factors will not make a real purchase as a bogus purchase.

 
 
Previous Next

 

what is new what is new

UpdatesKnowledge SharingSubscription CommunicationNewslettersMore Options




Go to Mobile Website Go To Top
© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.