2017 (10) TMI 878

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....we are proceeding to dispose them off through a consolidated order for the sake of convenience. 2. The ground raised by the assessee in this appeal is that the Ld. CIT(A) has erred in estimating net profit @ 6% on the alleged unproved purchases disregarding the submission and documentary evidence of the assessee. Also it is stated that the reopening made by the AO u/s 147/148 be quashed. 3. The cross appeal filed by the Revenue is that the Ld. CIT(A) erred in restricting the disallowance made u/s 69C (i) from Rs. 71,25,181/- to Rs. 4,27,510/- in A.Y. 2009-10 and (ii) from Rs. 1,95,17,832/- to Rs. 11,71,069/- in A.Y 2011-12 without appreciating the decision of the Hon'ble Gujarat High Court and approved by the Hon'ble Supreme Court in the ....

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....,568 27190653866V UNIVERSAL TRADING COMPANY AJIPJ7859H 2011-12 307,652 27530620893V VRUKSHA ENTERPRISES BGMPS2816M 2011-12 4,160,944 27360694658V CHAITANAYA ENTERPRISES AJXPS1279D 2011-12 236,420 27930587111V NEWZONE MULTITRADE PVT. LTD. AAECM7719B 2011-12 620,460 27200244472V SHREYAS MARKETING AGENCY AADHK8405J 2011-12 831,822 27270244094V SHREE GANESH TRADING CO. AALPM8933D 2011-12 1,052,337 27070741426V JAY GANESH ENTERPRISE AVNPM8339E 2011-12 1,531,770 27330145897V SHREEJI ENTERPRISES ADIPM8293L 2011-12 1,634,923 27110698627V BRIGHT ENTERPRISES AMWPM2356H 2011-12 2,338,489       TOTAL 19,517,832 On the basis of above information, the AO recorded the reasons ....

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....uld not be possible. The Ld. CIT(A) relied on the decision in the case of Shri Jitendra Motani (ITA No.5927/Mum/2009 for AY 2006-07 and ITA No.3024 to 3028/Mum/2008 for AY 2001-02 to 2003-04 and 2005-06) and the judgment of the Hon'ble Gujarat High Court in CIT vs. Simit P. Shah 356 ITR 451 and estimated the profit @ 6% on the bogus purchases of Rs. 71,25,181/- and it comes to Rs. 4,27,510/- for the AY 2009-10. The profit estimated by the Ld. CIT(A) for the AY 2011-12 comes to Rs. 11,71,069/-. 6. Though the case was fixed for hearing before the Tribunal, neither the assessee nor his authorized representative appeared. 7. Before us, the Ld. DR submits that following the judgment of the Hon'ble Supreme Court in N.K. Proteins Ltd. (supra), ....

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....ITAT restricted the addition on account of alleged bogus purchases at 25% i.e. Rs. 73,23,322/- of the total purchases amounting to Rs. 2,92,93,288/-. On further appeal, the Hon'ble High Court modified the order of the Tribunal and directed for addition of entire bogus purchases. After hearing the counsels, the Hon'ble Supreme Court dismissed the SLP filed by the assessee and confirmed the decision of the High Court for addition of entire income on account of bogus purchases. 8.2 We are of the considered view that the contentious issues in the instant case could be resolved by examining the above parties. It is the duty of the AO to enforce attendance of a witness if his evidence is material. At the same time the assessee must furnish the c....