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2018 (5) TMI 1384 - AT - Income TaxAddition on account of materials purchased - bogus purchases - Held that:-Details of these parties were properly provided before the AO and the existence of those parties cannot be questioned. The statement made by the AO in this regard that “the assessee did not furnish the evidence/bills and vouchers in respect of materials purchased” is not tenable. In fact when the details of the required documents were furnished the disallowance of 20% of the total expenses claimed by the assessee considering this as bogus expenses is not justified. - Decided in favour of assessee TDS u/s 194C - addition on account of labour charges for non TDS deduction - disallowance u/s 40(a)(ia) - Held that:- It appears from the register that the names and addresses of all 83 labourers are written serially in the register and all have received the money by putting thumb impression on the same. It is a fact that the labours are paid by the assessee directly and not through contract or sub-contract. Therefore section 194C of the Act is not attracted. We have also perused the profit and loss account for the year ended 31.03.2008 and the amount of works bill is of ₹ 1,37,60,588/- out of which labour charges are to the tune of ₹ 71,81,150/-. - Decided in favour of assessee Addition on account of sundry creditors - Held that:- AO was not justified in treating the concerned creditors as bogus without doubting the genuineness of the corresponding purchases made by the assessee from the said creditors. On the basis of all these findings of fact recorded by him, CIT(A) treated the concerned creditors as genuine and deleted the addition made by the AO by treating the same as bogus. After having considered all the facts of the case as found by the ld. CIT(A) and remained uncontroverted by the revenue, we find no justifiable reason to interfere with the impugned order of the ld. CIT(A) - Decided in favour of assessee
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