https://www.taxtmi.com/caselaws?id=446341 ITAT Ahmedabad upheld reopening of assessment u/s 147 within four years, finding valid application of mind by AO based on information from DDIT Mumbai regarding bogus purchases from Sampada Chemicals Limited. However, ITAT found breach of natural justice as assessee was denied copies of statements and cross-examination rights. Instead of adding entire purchase amount, ITAT estimated profit element at 12.5% of bogus purchases totaling Rs. 5,21,347, concluding assessee made actual purchases but obtained accommodation entries to suppress profits. Decision partly favored assessee. en-us Fri, 06 Oct 2023 00:00:00 +0530 Thu, 30 Nov 2023 11:45:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=446341 ITAT Ahmedabad upheld reopening of assessment u/s 147 within four years, finding valid application of mind by AO based on information from DDIT Mumbai regarding bogus purchases from Sampada Chemicals Limited. However, ITAT found breach of natural justice as assessee was denied copies of statements and cross-examination rights. Instead of adding entire purchase amount, ITAT estimated profit element at 12.5% of bogus purchases totaling Rs. 5,21,347, concluding assessee made actual purchases but obtained accommodation entries to suppress profits. Decision partly favored assessee. Case-Laws Income Tax Fri, 06 Oct 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=446341