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2019 (3) TMI 574 - AT - Income TaxBogus purchases - sufficient evidence to arrive at a conclusion that the assessee has made purchases from bogus concerns - HELD THAT:- Evidence possessed by the assessee is that payment to the alleged seller was made through banking channel. Payment through banking channel cannot be sacrosanct in all conditions. It has its own limitation to prove genuineness of the transaction. It is one of the basic conditions for making accommodation entries that payment should be made through banking channel. That does not mean that transaction has actually been taken place. Had the assessee able to produce any corroborative evidence in the shape of any agreement or correspondence, any evidence showing delivery of goods or dispatch of goods, probably to some extent, he could able to demonstrate the purchases made from these concerns. The assessee has only produced certain self-serving evidences in a straight-jacket formula normally collected in this type of transaction. If these evidences are tested in the background, how the shell entities used to function, discussed by the ITAT, in the case of Pavankumar Sanghvi [2017 (5) TMI 1159 - ITAT AHMEDABAD] then it would reveal that it is not sufficient evidence to arrive at a conclusion that the assessee has made purchases from these concerns. - Decided against assessee.
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