https://www.taxtmi.com/caselaws?id=771434 ITAT Mumbai upheld CIT(A)'s deletion of penalty u/s 271(1)(c) in bogus purchase case. AO treated entire purchases as bogus based on investigation wing findings and levied penalty. However, since payments were made through account payee cheques with corresponding sales, and additions in quantum assessment were restricted to 12.5%, ad hoc GP rate applied on alleged bogus purchases could not justify penalty for furnishing inaccurate particulars or concealing income. Following precedent in similar facts, revenue's appeal was dismissed. en-us Fri, 16 May 2025 00:00:00 +0530 Sat, 24 May 2025 12:38:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=771434 ITAT Mumbai upheld CIT(A)'s deletion of penalty u/s 271(1)(c) in bogus purchase case. AO treated entire purchases as bogus based on investigation wing findings and levied penalty. However, since payments were made through account payee cheques with corresponding sales, and additions in quantum assessment were restricted to 12.5%, ad hoc GP rate applied on alleged bogus purchases could not justify penalty for furnishing inaccurate particulars or concealing income. Following precedent in similar facts, revenue's appeal was dismissed. Case-Laws Income Tax Fri, 16 May 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=771434