https://www.taxtmi.com/caselaws?id=773353 The HC dismissed the Revenue's appeal challenging the CIT(A)'s deletion of Rs. 1,80,50,000/- addition under Section 69A for alleged bogus purchases. While the reassessment under Section 147 was held valid, the Court upheld CIT(A)'s finding that mere third-party admissions by the proprietor of the supplier company and cash entries in bank statements were insufficient to establish bogus purchases without direct nexus between the assessee and entry operator. The AO had accepted the assessee's books of account and sales figures, and the business explanation of purchasing packing material in cash was found plausible. The addition was unsustainable absent direct evidence linking the assessee to fraudulent transactions. en-us Fri, 30 May 2025 00:00:00 +0530 Sat, 21 Jun 2025 08:28:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=773353 The HC dismissed the Revenue's appeal challenging the CIT(A)'s deletion of Rs. 1,80,50,000/- addition under Section 69A for alleged bogus purchases. While the reassessment under Section 147 was held valid, the Court upheld CIT(A)'s finding that mere third-party admissions by the proprietor of the supplier company and cash entries in bank statements were insufficient to establish bogus purchases without direct nexus between the assessee and entry operator. The AO had accepted the assessee's books of account and sales figures, and the business explanation of purchasing packing material in cash was found plausible. The addition was unsustainable absent direct evidence linking the assessee to fraudulent transactions. Case-Laws Income Tax Fri, 30 May 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=773353