https://www.taxtmi.com/caselaws?id=401208 The Tribunal allowed the appeal, deleting the addition made under section 40A(3) of the Income-tax Act, 1961, as the re-assessment lacked validity by presupposing the genuineness of transactions while being initiated on the premise of bogus purchases. The Tribunal emphasized that re-assessment must be based on recorded reasons, and if additions are made on different grounds, the re-assessment is invalid. Therefore, the Tribunal ruled that the addition under section 40A(3) was not sustainable in the re-assessment proceedings. en-us Thu, 20 Aug 2020 00:00:00 +0530 Mon, 30 Nov 2020 11:53:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=401208 The Tribunal allowed the appeal, deleting the addition made under section 40A(3) of the Income-tax Act, 1961, as the re-assessment lacked validity by presupposing the genuineness of transactions while being initiated on the premise of bogus purchases. The Tribunal emphasized that re-assessment must be based on recorded reasons, and if additions are made on different grounds, the re-assessment is invalid. Therefore, the Tribunal ruled that the addition under section 40A(3) was not sustainable in the re-assessment proceedings. Case-Laws Income Tax Thu, 20 Aug 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=401208