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2021 (11) TMI 1080 - AT - Income TaxPenalty u/s 271(1)(c) - Estimation of income on bogus purchases - HELD THAT:- Hon'ble Delhi High Court in the case of CIT v. Aero Traders Pvt. Ltd. [2010 (1) TMI 32 - DELHI HIGH COURT] affirmed the order of the Tribunal in holding that estimated rate of profit applied on the turnover of the assessee does not amount to concealment or furnishing inaccurate particulars. Also see SHRI DEEPAK POPATLAL GALA & OTHERS [2015 (6) TMI 944 - ITAT MUMBAI] In the case on hand the Ld. Assessing Officer and Ld.CIT(A) as well has only estimated the Gross Profit on the alleged non-genuine purchases without there being any conclusive proof of concealment of income or furnishing inaccurate particulars of such income. Thus, respectfully following the above decisions, we direct the assessing officer to delete the penalty levied u/s.271(1)(c) of the Act for the Assessment Year under consideration. - Decided in favour of assessee.
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