TMI Blog2021 (2) TMI 1068X X X X Extracts X X X X X X X X Extracts X X X X ..... form part of the purchases debited to the profit and loss account ; ₹ 22,93,114/- relates to fixed assets purchases and ₹ 27,06,250/- to other purchases. Assessee deserves reasonable opportunity of being heard by the Ld. CIT(A). Therefore, we set aside the impugned order and restore the matter to the file of the Ld. CIT(A) to make an order afresh after giving reasonable opportunity of being heard to the assessee. We direct the assessee to file the relevant documents/evidence before the Ld. CIT(A). Appeals are allowed for statistical purposes. - ITA No. 828/MUM/2019, 1876/MUM/2019 (Assessment Year: 2010-11) - - - Dated:- 18-1-2021 - SHRI C.N. PRASAD (JUDICIAL MEMBER) AND SHRI N.K. PRADHAN (ACCOUNTANT MEMBER) Assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted by the Ld. CIT(A), and thus no disallowance was called for. 4. On the facts, and in circumstances of the case, and in law. the Ld. CIT(A) erred in confirming disallowance made by the Assessing Officer even of those alleged bogus purchases amounting to ₹ 2,293,114/-which were towards fixed assets and were never debited to profit and loss account. 3. The grounds of appeal filed by the Revenue read as under : 1) On the facts and in the circumstances of the case and in law, Ld. CIT(A) erred in computing Profit for the purpose of section 28 of the Act taking into consideration the bogus bills against which no goods have been received. 2) On the facts and in the circumstances of the case and in law, the Ld. CIT(A) erred in p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed u/s 143(1) of the Act. On receipt of information from the Sales Tax Department, Government of Maharashtra that the assessee had obtained bogus purchase bills from Meredian Trading Co., Globe Impex (India) and Little World Trade Impex Pvt. Ltd., the AO re-opened the assessment by issuing notice u/s 148. During the course of re-assessment proceedings, the AO proceeded to verify the purchases of ₹ 20,61,689/- from Meredian Trading Co., ₹ 26,00,882/- from Globe Impex (India) and ₹ 3,36,794/- from Little World Trade Impex Pvt. Ltd. For that purpose the AO issued notice u/s 133(6) to the said parties on the address made available by the assessee. As there was no cogent explanation by the assessee on the genuineness of purchas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 365/- Thus it is stated that the entire amount does not form part of purchases debited to the profit and loss account ; some portion pertains to fixed assets purchases. It is thus explained that these fixed assets are physically lying at the factory and can be verified, therefore, these cannot be termed as bogus purchases. On the other hand, the Ld. Department Representative (DR) submits that the order passed by the AO be restored. 7. We have heard the rival submissions and perused the relevant materials on record. The reasons for our decisions are given below. We find that the Ld. CIT(A) has decided the appeal ex-parte by stating that : At the outset, it may be mentioned that the appellant does not appear to ..... X X X X Extracts X X X X X X X X Extracts X X X X
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