https://www.taxtmi.com/caselaws?id=751406 The ITAT Chandigarh ruled on three issues concerning an assessee company. First, regarding commission payments on bogus purchases and sales, the tribunal found that since the assessee disclosed gross profit at 1.60% on bogus sales which covered the commission payments, no separate addition was warranted and deleted the CIT(A)'s sustained addition. Second, on unexplained investment under section 69, the tribunal partially allowed the appeal, directing deletion of Rs 57.85 lacs from the Rs 58.57 lacs addition, reasoning that unaccounted receivables already taxed as undisclosed income could be utilized for subsequent purchases without further taxation. Third, regarding stock valuation differences, the tribunal upheld the CIT(A)'s order sustaining the addition, finding no justifiable basis to interfere with the stock valuation methodology applied. en-us Wed, 27 Mar 2024 00:00:00 +0530 Wed, 08 May 2024 17:13:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=751406 The ITAT Chandigarh ruled on three issues concerning an assessee company. First, regarding commission payments on bogus purchases and sales, the tribunal found that since the assessee disclosed gross profit at 1.60% on bogus sales which covered the commission payments, no separate addition was warranted and deleted the CIT(A)'s sustained addition. Second, on unexplained investment under section 69, the tribunal partially allowed the appeal, directing deletion of Rs 57.85 lacs from the Rs 58.57 lacs addition, reasoning that unaccounted receivables already taxed as undisclosed income could be utilized for subsequent purchases without further taxation. Third, regarding stock valuation differences, the tribunal upheld the CIT(A)'s order sustaining the addition, finding no justifiable basis to interfere with the stock valuation methodology applied. Case-Laws Income Tax Wed, 27 Mar 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=751406