https://www.taxtmi.com/caselaws?id=784606 Whether additions for alleged bogus purchases were sustainable turned on acceptance of sales and accounting records. Since the purchases were evidenced as supplied and sold to a semi-government department, the sales were not doubted, and the AO did not reject the books, disallowance of purchases as bogus lacked legal basis; deletion of the addition was upheld and the revenue's ground failed. Whether contract and commission expenses were allowable depended on proof of business purpose and genuineness. As the assessee produced payment records, confirmations, tax returns and bank statements of recipients, and the AO brought no material showing payments were bogus, unreasonable, or excessive vis-à-vis market comparables, deletion of disallowance was upheld and the revenue's ground failed. en-us Fri, 02 Jan 2026 00:00:00 +0530 Thu, 08 Jan 2026 08:22:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=784606 Whether additions for alleged bogus purchases were sustainable turned on acceptance of sales and accounting records. Since the purchases were evidenced as supplied and sold to a semi-government department, the sales were not doubted, and the AO did not reject the books, disallowance of purchases as bogus lacked legal basis; deletion of the addition was upheld and the revenue's ground failed. Whether contract and commission expenses were allowable depended on proof of business purpose and genuineness. As the assessee produced payment records, confirmations, tax returns and bank statements of recipients, and the AO brought no material showing payments were bogus, unreasonable, or excessive vis-à-vis market comparables, deletion of disallowance was upheld and the revenue's ground failed. Case-Laws Income Tax Fri, 02 Jan 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=784606