https://www.taxtmi.com/caselaws?id=458751 The ITAT Mumbai allowed the assessee's appeal for statistical purposes in a case involving bogus purchases from Bhanwarlal Jain concerns. The AO had estimated profit at 5% of total purchases, which CIT(A) reduced to 3%. Following the Bombay HC precedent in Mohommad Haji Adam Co, ITAT directed the AO to restrict additions only to equalize the gross profit rate on alleged bogus purchases with genuine purchases declared by the assessee, requiring verification of records and additional information from the assessee. en-us Wed, 31 Jul 2019 00:00:00 +0530 Thu, 14 Nov 2024 19:06:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=458751 The ITAT Mumbai allowed the assessee's appeal for statistical purposes in a case involving bogus purchases from Bhanwarlal Jain concerns. The AO had estimated profit at 5% of total purchases, which CIT(A) reduced to 3%. Following the Bombay HC precedent in Mohommad Haji Adam Co, ITAT directed the AO to restrict additions only to equalize the gross profit rate on alleged bogus purchases with genuine purchases declared by the assessee, requiring verification of records and additional information from the assessee. Case-Laws Income Tax Wed, 31 Jul 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=458751