https://www.taxtmi.com/caselaws?id=388347 A statement recorded during search under section 132(4) is evidentiary and binds the assessee on the factual admission that purchase bills were non-genuine, but the tax consequence of that admission must still be tested independently under law. Where the record shows that the goods were actually purchased and consumed in business, the entire purchase value cannot be added merely because the bills were bogus. In such cases, only the profit element embedded in the disputed purchases is assessable. On the facts stated, the addition was restricted to 10% of the disputed purchase amounts and the balance was deleted. en-us Fri, 08 Nov 2019 00:00:00 +0530 Thu, 14 Nov 2019 10:34:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=388347 A statement recorded during search under section 132(4) is evidentiary and binds the assessee on the factual admission that purchase bills were non-genuine, but the tax consequence of that admission must still be tested independently under law. Where the record shows that the goods were actually purchased and consumed in business, the entire purchase value cannot be added merely because the bills were bogus. In such cases, only the profit element embedded in the disputed purchases is assessable. On the facts stated, the addition was restricted to 10% of the disputed purchase amounts and the balance was deleted. Case-Laws Income Tax Fri, 08 Nov 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=388347