https://www.taxtmi.com/caselaws?id=783303 ITAT partly allowed the assessee's appeal by restricting the addition on alleged bogus purchases from the accommodation entry provider group to 6% of the impugned purchase value, following binding HC precedents that only the profit element embedded in such purchases is taxable. Consequently, the related penalty imposed u/s 271(1)(c) was deleted. The Tribunal held that once the addition is confined to an estimated profit element without direct evidence of concealment or furnishing inaccurate particulars, such ad hoc estimation cannot sustain penalty. The Revenue's appeal on both quantum and penalty was thus rejected. en-us Thu, 27 Nov 2025 00:00:00 +0530 Sat, 13 Dec 2025 08:28:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=783303 ITAT partly allowed the assessee's appeal by restricting the addition on alleged bogus purchases from the accommodation entry provider group to 6% of the impugned purchase value, following binding HC precedents that only the profit element embedded in such purchases is taxable. Consequently, the related penalty imposed u/s 271(1)(c) was deleted. The Tribunal held that once the addition is confined to an estimated profit element without direct evidence of concealment or furnishing inaccurate particulars, such ad hoc estimation cannot sustain penalty. The Revenue's appeal on both quantum and penalty was thus rejected. Case-Laws Income Tax Thu, 27 Nov 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=783303