2013 (10) TMI 933

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....RDER (Per : HONOURABLE MR.JUSTICE AKIL KURESHI) The Revenue is in appeal against the judgment of the Income-tax Appellate Tribunal dated July 26, 2011, raising the following questions for our consideration :          "(i) Whether the Income-tax Appellate Tribunal erred in law by not appreciating the fact that the assessee had not kept day-to-day sto....

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....made as claimed by the assessee, was not substantiated by any circumstantial evidence ?          (iv) Whether the Income-tax Appellate Tribunal had erred in law by not appreciating the fact that the parties from which purchases were made, as claimed by the assessee, could not be found out by the Department and that the burden was on the assessee to prove ....

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....ee's appeal. In so far as the question of bogus purchase is concerned, the Tribunal concurred with the Revenue's views that such purchases were made from bogus parties. The Tribunal noted that the Assessing Officer had issued notice to all parties from whom such purchases were allegedly made. Such notices were returned unserved by the postal authorities with the remark that the address was incompl....

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....old by the assessee. Therefore, the purchases of the entire 1,02,514 metres of cloth were sold during the year under consideration. The Tribunal, therefore, accepted the assessee's contention that the finished goods were purchased by the assessee, may be not from the parties shown in the accounts, but from other sources. In that view of the matter, the Tribunal was of the opinion that not the enti....