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2019 (10) TMI 1128 - AT - Income TaxBogus purchases - Assessment framed u/s 143(3) r.w.s. 153A - Addition of 25% of such purchases as bogus u/s 69C - HELD THAT:- AO had made addition by merely relying on the statement of one Shri Rajendra Jain which cannot be termed as an incriminating material as said statement should have related to incriminating material found during the course of search or statement must be made relatable to material by subsequent enquiry/ investigation. Addition made by the AO @ 25% of alleged bogus purchases - CIT-A deleted the addition - In the present case, no opportunity to cross examine said Shri Rajendra Jain was provided by the Revenue authorities. Thus it was rightly held that not providing cross examination tantamount to denial of natural justice and does vitiate the assessment. CIT(A) has also considered that the AO himself had recorded in the assessment order that letter was issued to Custom Authorities SEZ-II, Sitapura Industrial Area, Jaipur to verify the said purchases and the AO has recorded a finding that SEZ authorities have confirmed that said purchases are genuine as duly recorded in their records. This itself cast a doubt on AO’s conclusion that purchases made by the assessee were bogus. More particularly, when it is certificate from another Govt. Agency by certifying the genuineness of the purchases and it tilts preponderance of probability in favour of the assessee. It is pertinent to mention that the ld. CIT(A) has explicitly dealt with the issue and deleted the addition made by the AO giving full justification to the issue in question and we find no reason to interfere with the order of the ld. CIT(A) Delayed contribution of employees’s contribution towards PF and ESIC - CIT(A) deleted the addition - HELD THAT:- As decided in CIT Vs. State Bank of Bikaner & Jaipur (2014) [2014 (5) TMI 222 - RAJASTHAN HIGH COURT] where PF and/or EPF, CPF, GPF, etc., was paid after the due date under the respective acts but before filing of return of income u/s 139(1), it could not be disallowed u/s 43B or u/s 36(1)(va). - Decided in favour of assessee
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