https://www.taxtmi.com/highlights?id=97690 Disallowance of purchases under section 37 was challenged where the assessee produced invoices, bank statements showing payments through banking channels, supplier confirmations and GST returns; the Tribunal held that production of these documents discharged the assessee's primary onus and, absent affirmative contrary material from the revenue proving suppliers non-existent or payments returned as cashback, the AO/first appellate authority could not draw an adverse inference to disallow entire purchases. Reliance on precedent supporting that complete disallowance is impermissible when supporting documents are furnished; disallowance deleted. en-us Sat, 14 Mar 2026 08:36:57 +0530 Sat, 14 Mar 2026 08:36:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=97690 Disallowance of purchases under section 37 was challenged where the assessee produced invoices, bank statements showing payments through banking channels, supplier confirmations and GST returns; the Tribunal held that production of these documents discharged the assessee's primary onus and, absent affirmative contrary material from the revenue proving suppliers non-existent or payments returned as cashback, the AO/first appellate authority could not draw an adverse inference to disallow entire purchases. Reliance on precedent supporting that complete disallowance is impermissible when supporting documents are furnished; disallowance deleted. Highlights Income Tax Sat, 14 Mar 2026 08:36:57 +0530 https://www.taxtmi.com/highlights?id=97690