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2020 (8) TMI 264 - AT - Income TaxEstimation of income - Addition u/s 69C - self made vouchers - assessee had failed to discharge the onus to establish the genuine of the transactions and also failed to furnish corroborative evidences in support of his claim - HELD THAT:- As directed the AO to estimate gross profit of 10% to 15% on total alleged bogus purchases. Considering the nature of business of the assessee the AO has made 100% addition, whereas the CIT(A) has scaled down addition to 12.50% profit on alleged bogus purchases. Although, both authorities have taken different rate of profit for estimation of income from alleged bogus purchase, but no one could support said rate of gross profit with necessary evidences or any comparable cases. We are of the considered opinion that 12.50% rate of profit adopted by the CIT(A) appears to be reasonable and accordingly, we are inclined to uphold the findings of the CIT(A) and reject grounds taken by the Revenue. Adhoc disallowances of various expenses - CIT(A) has recorded categorical findings that the AO has not given any specific reason for making adhoc disallowances of expenses - HELD THAT:- Revenue fails to bring on record any evidences to prove the findings of facts recorded by the CIT(A) is incorrect. Therefore, we are of the considered view that there is no error in the findings of the CIT(A) and hence, we are inclined to uphold order of the ld. CIT(A) and reject ground taken by the Revenue. Appeal filed by the Revenue is dismissed.
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