https://www.taxtmi.com/caselaws?id=350431 The Tribunal upheld the CIT(A)'s decision to estimate 12.5% net profit on alleged bogus purchases by an assessee involved in trading iron & steel, despite the assessee's request for a further reduction. The Tribunal emphasized taxing only the profit element embedded in such purchases due to lack of proof of their genuineness, as supported by the sales-tax department's actions. Additionally, the Tribunal directed the AO to verify the assessee's claim of paying additional VAT on these purchases, potentially allowing credit for VAT payment from the estimated net profit. en-us Fri, 27 Oct 2017 00:00:00 +0530 Mon, 06 Nov 2017 08:48:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=350431 The Tribunal upheld the CIT(A)'s decision to estimate 12.5% net profit on alleged bogus purchases by an assessee involved in trading iron & steel, despite the assessee's request for a further reduction. The Tribunal emphasized taxing only the profit element embedded in such purchases due to lack of proof of their genuineness, as supported by the sales-tax department's actions. Additionally, the Tribunal directed the AO to verify the assessee's claim of paying additional VAT on these purchases, potentially allowing credit for VAT payment from the estimated net profit. Case-Laws Income Tax Fri, 27 Oct 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=350431