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2015 (9) TMI 1173 - AT - Income TaxBogus purchases - addition in respect of sundry creditors - Held that:- Find force in the contentions of the ld. counsel for the assessee that only on the basis of sample check on random basis the entire liabilities cannot be treated to be bogus liabilities. At the most, the Assessing Officer if intended to make an addition on the basis of random check, it can only be restricted at ₹ 9,13,613/-, but the entire outstanding liabilities cannot be treated to be bogus on the basis of sample check. But in any case, the ld. CIT(A) has estimated the profit of the assessee @ 7.5% of the gross receipts resulting into an addition of ₹ 9,63,634/-. We have also carefully examined the findings of the ld. CIT(A) and we find that the ld. CIT(A) has properly adjudicated the issue in the given facts and circumstances of the case. Since we find no infirmity therein, we confirm his order on this issue. - Decided against revenue. Addition out of purchases as the purchases were not fully verifiable - CIT(A) deleted the addition - Held that:- Revenue could not place any evidence to justify that the assessee has not maintained complete details such as bills and vouchers for purchases. Since no specific defect was pointed out by the Assessing Officer, we find no merit in the disallowance. Accordingly we confirm the order of the ld. CIT(A) on this issue who has rightly deleted the addition. - Decided against revenue.
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