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2018 (3) TMI 1839 - AT - Income TaxBogus purchases u/s 69C - cost of construction has been shown by the assessee at a higher figure - HELD THAT:- We found that cost of construction shown by the assessee was ₹ 2,958/- as against the cost of construction shown by the sister concern M/s. Triveni Properties with the project in the same vicinity having average cost at 2907/- per sq.ft. wherein there is not allegation of purchases from bogus suppliers. Even though learned AR relied on the order of the Co-ordinate Bench in case of Triveni Homes [2018 (2) TMI 1955 - ITAT MUMBAI] wherein addition was restricted to 2% of the alleged bogus purchases, but we found that in that case, the cost of construction shown by the assessee worked out to ₹ 2812.70, however, in the instant case the cost of construction has been shown by the assessee at a higher figure of ₹ 2958/- therefore, it appears that assessee had shown higher cost of construction. We direct the AO to restrict the addition to the extent of 3% of the alleged bogus purchases. Appeal of the Revenue is dismissed whereas appeal of assessee is allowed in part.
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