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2019 (11) TMI 331 - AT - Income TaxPenalty u/s 271(1)(c) - sundry creditors u/s 68 as alleged unexplained cash credit - HELD THAT:- After considering the submissions of both the parties and perusing the entire material available on record along with the orders of authorities below as well as the case relied upon by the assessee, we find in this case that the lower authorities have disallowed only sundry creditors for want of verification but the corresponding purchase, sales and net profit declared by the assessee have been accepted by the authorities below. Our this view is supported by the decision of coordinate bench of the Tribunal in the case of M/s Gulf Steel & Minerals [2018 (5) TMI 627 - ITAT RANCHI] AO is wrong in making the impugned addition on account of sundry creditor, which are related to purchases and the same also accepted by the AO as genuine. Without rejecting the purchases, the sundry creditors cannot be treated as income of assessee. - Decided in favour of assessee.
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