https://www.taxtmi.com/caselaws?id=782287 ITAT Ahmedabad set aside the disallowance made u/s 40A(3) in respect of purchases from three suppliers and remanded the matter to the AO for de novo assessment. The Tribunal held that the AO had not conducted proper enquiry into the identity and existence of suppliers, genuineness of purchases, mode and dates of payment, or the cash trail, nor correlated GST and income-tax records. CIT(A) was found to have mechanically confirmed the disallowance without exercising powers u/s 250(4). Holding that foundational facts for invoking section 40A(3) were not established and natural justice was violated, ITAT restored the issue to the AO with detailed directions and allowed the assessee's appeal for statistical purposes. en-us Thu, 31 Jul 2025 00:00:00 +0530 Thu, 27 Nov 2025 08:36:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782287 ITAT Ahmedabad set aside the disallowance made u/s 40A(3) in respect of purchases from three suppliers and remanded the matter to the AO for de novo assessment. The Tribunal held that the AO had not conducted proper enquiry into the identity and existence of suppliers, genuineness of purchases, mode and dates of payment, or the cash trail, nor correlated GST and income-tax records. CIT(A) was found to have mechanically confirmed the disallowance without exercising powers u/s 250(4). Holding that foundational facts for invoking section 40A(3) were not established and natural justice was violated, ITAT restored the issue to the AO with detailed directions and allowed the assessee's appeal for statistical purposes. Case-Laws Income Tax Thu, 31 Jul 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782287