https://www.taxtmi.com/caselaws?id=782035 A discrepancy between purchases shown in VAT returns and those recorded in the books, explained by the Gujarat VAT rule requiring reversal of input tax credit on returned goods, could not by itself justify an income addition. The assessee furnished supplier-wise reconciliation, the sales figures matched, and the Revenue produced no material to show bogus, non-existent, or unverifiable purchases or any suppression of income. In the absence of evidence of fictitious transactions, the variation was treated as a mere accounting mismatch and the addition was held unsustainable. en-us Thu, 06 Nov 2025 00:00:00 +0530 Mon, 24 Nov 2025 08:57:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782035 A discrepancy between purchases shown in VAT returns and those recorded in the books, explained by the Gujarat VAT rule requiring reversal of input tax credit on returned goods, could not by itself justify an income addition. The assessee furnished supplier-wise reconciliation, the sales figures matched, and the Revenue produced no material to show bogus, non-existent, or unverifiable purchases or any suppression of income. In the absence of evidence of fictitious transactions, the variation was treated as a mere accounting mismatch and the addition was held unsustainable. Case-Laws Income Tax Thu, 06 Nov 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782035