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Income Tax - Highlights / Catch Notes

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Addition u/s 69C - bogus purchases - AO cannot make the addition ...

Income Tax

January 20, 2017

Addition u/s 69C - bogus purchases - AO cannot make the addition under section 69C of the Act by merely relying on information obtained from the Sales Tax Department, the statement/affidavit of third parties - AT

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  1. Addition u/s 69C - bogus purchases - Enquiries conducted by the AO prove the fact that purchases from the above parties are bogus which are not supported by necessary...

  2. Bogus purchases - Without causing any further enquires in respect of the said purchases, the AO cannot make the addition under section 69C of the Act by merely relying...

  3. Credit purchases are nothing but expenditure and if sundry credits are not proved by the assessee addition can be made by the AO by resorting to section 69C - HC

  4. Additions towards Bogus purchases - Estimation of profit - Purchases are to be removed, the corresponding sale is also required to be removed from the profit and loss...

  5. Reopening of an assessment beyond 4 years - issue of bogus purchases - specific and concrete information available with the AO - Reassessment proceedings sustained -...

  6. Bogus purchases - addition @ 12.5% of the bogus purchases - accommodation entries - no actual delivery of goods - notices issued u/s 133(6) were returned back unserved...

  7. Bogus purchases - based on of list of hawala operators published by Maharashtra Sales-tax Department relied upon - addition u/s 69C - a reasonable net profit of 12.5% on...

  8. Addition u/s 69C - bogus purchases - there is no evidence brought on record by the AO to establish that the said payments were routed back to the assessee, the addition...

  9. Bogus purchases - In a case where sales are considered genuine, no addition, on account of bogus purchases, can be made - AT

  10. Restriction of disallowance - Bogus purchases - Restriction of disallowance @30% of total disallowance – addition of 12.5% net profit on bogus purchase is reasonable - AT

 

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