TMI Blog2015 (6) TMI 144X X X X Extracts X X X X X X X X Extracts X X X X ..... cided against revenue. - ITA No. 313/2015 - - - Dated:- 20-5-2015 - S Ravindra Bhat And R K Gauba, JJ. For the Appellant : Mr. Kamal Sawhney, Sr. Standing Counsel with Mr. Raghvendra Singh, Adv For the Respondent : Dr. Rakesh Gupta with Ms. Poonam Ahuja, Mr. Rohit Kr. Gupta and Mr. Nitin Malhotra, Adv ORDER 1. The Revenue is aggrieved by an order of the Income Tax Appellate Tribunal ( ITAT ) passed in ITA No.1466/Del/2011 and 1582/Del/2011 dated 21.11.2014. It is urged that the ITAT fell into error in not disturbing the CIT (A)'s findings with respect to the genuineness of the purchases made in the course of the business by the assessee for AY 2007-08. 2. The assessee used to deal with electronic articles. In ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e parties before sending the remand report. Indeed, all efforts including sending Inspector of Income Tax on addresses gathered from the Banks have been made to trace the 9 parties which is laudable but unfortunately there was not a single compliance from any of these 9 parties. A direct enquiry relating to the source from where these parties had made the purchases as well as their cost to them could have possible made only if these parties had appeared before the AO. At the same time it is a matter of record that all these nine parties are having TIN No. and have been assessed to Sales tax for the relevant financial year, where their assessed turnover for FY 06-07 is at a much higher figure than the amount for which they have sold goods to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are bogus merely because the parties are not traceable now. In fact any finding to this effect would also carry itself with the natural inference that the corresponding sales should also be held bogus and deleted from the turnover of the assessee. In view thereof on a totality of facts circumstances dispassionate weighing of the evidences the addition made by the AO by holding the entire purchases as bogus transactions and disallowing the same is not sustainable. 3. The CIT (A), however, rejected the subsequent sales by the assessee who had stated that the electronic items were sold at below cost price and reported loss. The findings of the CIT (A) on both counts were upheld by the ITAT. 4. The Revenue urges that the ITAT in t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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