TMI Blog2020 (12) TMI 206X X X X Extracts X X X X X X X X Extracts X X X X ..... nds of justice on the alleged bogus purchases in the similar industries in which assessee is engaged into. No infirmity in the order of the ld. CIT(A) granting relief to the assessee. - Appeal of the revenue is dismissed. - ITA No.2318/Mum/2019 - - - Dated:- 10-9-2020 - Shri M. Balaganesh, AM And Shri Pavan Kumar Gadale, JM For the Assessee : None For the Revenue : Shri Amit Pratap Singh ORDER PER M. BALAGANESH (A.M): This appeal in ITA No.2318/Mum/2019 for A.Y.2011-12 arises out of the order by the ld. Commissioner of Income Tax (Appeals)-16, Mumbai in appeal No.CIT(A)-16/IT-10548/ITO-9(2)(2)/2016-17 dated 23/04/2016 (ld. CIT(A) in short) against the order of assessment passed u/s.143(3) rws 147 of the Income ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Subham Steel Impex ABKFS9679N 57,86,288 TOTAL 1,97,20,630 3.1. We find that the assessee had given the following explanation before the lower authorities:- The Assessee had given an order to an Agent for Certain Purchases the assessee has received the Goods the Bill from an agent. Assessee has purchased required goods from the agents in many cases where the goods are not easily available in the market so, that there are some Agents who take orders for some specific items from the assessee's, hence Agent is responsible for the Quality timely delivery of such goods in turn receives Commission for the services from suppliers. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee was unable to produce the purchase parties for verification. 3.3. We find that the ld. AO had further observed that since the purchases booked by the assessee are not verifiable, the books of accounts of the assessee are not reliable and accordingly, book results were rejected by the ld. AO to the extent of erroneous purchases u/s.145 of the Act. 3.4. We find that the ld. AO had observed in this order that the assessee could have bought goods in the instant case from the grey market and obtained bogus bills of other parties to support the grey purchases. We observe that the aforesaid suppliers had acted as a conduit between the assessee firm and the seller of the goods. Accordingly, he estimated the addition @36.5% of the gr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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