https://www.taxtmi.com/caselaws?id=771313 ITAT Delhi held that where assessee declared sales and recorded accommodation entries but AO disallowed entire purchases as bogus, only differential gross profit rate should be added as income. Following HC precedent that only certain percentage of bogus purchases should be sustained considering actual benefit earned, ITAT sustained 12.5% GP rate as reasonable addition. Since assessee already declared 2.1% GP rate, differential of 10% was added as income. Appeal partly allowed. en-us Wed, 21 May 2025 00:00:00 +0530 Fri, 23 May 2025 08:46:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=771313 ITAT Delhi held that where assessee declared sales and recorded accommodation entries but AO disallowed entire purchases as bogus, only differential gross profit rate should be added as income. Following HC precedent that only certain percentage of bogus purchases should be sustained considering actual benefit earned, ITAT sustained 12.5% GP rate as reasonable addition. Since assessee already declared 2.1% GP rate, differential of 10% was added as income. Appeal partly allowed. Case-Laws Income Tax Wed, 21 May 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=771313