TMI Blog2016 (1) TMI 1113X X X X Extracts X X X X X X X X Extracts X X X X ..... ts of the assessee ,that he had accepted the sale made by the assessee.In our opinion the AO had violated the basic principles of natural justice and the FAA had rightly held that addition made by the AO would fall in the category of addition made behind the back of the assessee. The Hon’ble Bombay High Court in the case of Nikunj Eximp Enterprises Ltd.(2013 (1) TMI 88 - BOMBAY HIGH COURT ) has held that if the AO accepts the sales as genuine,there cannot be any justification in rejecting the purchases.Information received from STD was a good starting point for further investigation.But,the AO stopped at that point itself and did not bring on record anything that could rebut the documentary evidence produced by the assessee.In our opinio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... FAA).Before him the assessee produced voluminous submissions along with extensive documentary evidences.The FAA called for a remand report (RR)from the AO.The assessee argued before the FAA that it had furnished copies of delivery challans, invoices, store register,details of cheque payment and bank statements in connection with its dealing with JE,that purchases had been made nearly four years ago,that there was no further transaction with JE,that the AO had relied upon the information received from STD,that onus was on the AO that the purchases were bogus.After considering the submissions of the assessee and the assessment order along with the RR,the FAA held that the assessee had established that there was a clear audit trail available i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f natural justice and the FAA had rightly held that addition made by the AO would fall in the category of addition made behind the back of the assessee. The Hon ble Bombay High Court in the case of Nikunj Eximp Enterprises Ltd.(372ITR619) has held that if the AO accepts the sales as genuine,there cannot be any justification in rejecting the purchases.Information received from STD was a good starting point for further investigation.But,the AO stopped at that point itself and did not bring on record anything that could rebut the documentary evidence produced by the assessee.In our opinion,addition made by the AO was justifiably deleted by the FAA.Therefore, confirming his order,we decide effective ground of appeal against the AO. As a result, ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
