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2020 (4) TMI 623 - AT - Income TaxBogus purchases - assessee company is unable to substantiate its purchase from the claimed suppliers who had been already established hawala dealers from Sales Tax Department and investigation wing of the Income Tax Department - CIT(A) restricted the addition to 25% - HELD THAT:- As decided in the case of Pr.CIT v. M/s. Mohommad Haji Adam & Co. [2019 (2) TMI 1632 - BOMBAY HIGH COURT] held that the Tribunal correctly restricted the addition limited to the extent of bringing the Gross Profit rate on purchases at the same rate of other genuine purchases We direct the Assessing Officer to restrict the addition/disallowance only to the extent of bringing the Gross Profit rate on alleged bogus purchases at the same rate of the other genuine purchases declared by the assessee after calling for the details and verification of records. The assessee is directed to furnish the necessary information in this regard.
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