TaxTMI 
TaxTMI 
2020 (4) TMI 565
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....erred to as "the Ld. CIT(A)"] erred in upholding the reassessment proceedings under section 147 of the Act without appreciating the facts and circumstances of the case. 2. The Ld. CIT(A) erred in upholding the disallowance of Rs,2,80,195/- being 25% of the alleged bogus purchases under section 69C of the Act without appreciating the facts and circumstances of the case. 3. The Ld. CIT(A) failed to appreciate that the above addition is merely based of the information received from the sales tax department and statement of third partly without providing the Appellant an opportunity to cross examine the same. Thus, the disallowance of Rs. 2,80,195/- under section 69C of the Act is against the principle of natural justice and t....
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....is no nexus between reasons and escapement of income. The assessee had also challenged addition towards bogus purchases with certain additional evidence. The additional evidences filed by the assessee has been forwarded to AO for his comments and the AO vide his remand report dated 13.01.2017, commented as to why additional evidence filed by the assessee cannot be accepted. The sum and substance of arguments of the assessee before the Ld.CIT(A) are that purchase from the above party is genuine, which is supported by necessary evidences. Therefore, no additions could be made on the basis of information received from third party. The Ld.CIT(A), after considering relevant submission of the assessee and also, by following various decisions, sca....
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....icer results in net profit on project at 38.22%. This certainly is quite high and out of industry norms. This, in my view, suggests that the purchases are made, but from elsewhere. 6.5. Even if materials have been purchased,, they are not purchased form these parties and may be in cash from un-disclosed parties. By purchasing from the grey market, the appellant would have benefitted by the savings of taxes. Direct statement of shri Gupta applies to purchases from only two entities via. Muni Trade P, Ltd and Yashobhumi Traders P. Ltd. from whom purchases claimed are Rs. 2.88 crores. The balance purchases of Rs. 1.94 crores are disallowed based on pattern noted on bills and receipt 1 am guided by the ratio of decision of the Hon'ble ....
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....see is one of the beneficiary of accommodation entries of bogus purchase bills issued by Hawala dealers. According to the Ld. AO, although assesee has filed certain basic evidences, but failed to file further evidence in the backdrop of clear finding by the Sales Tax Department, Maharashtra that those parties are involved in providing accommodation entries without actual delivery of goods. The Ld. AO had also taken support from the investigation conducted during the course of assessment proceedings, as per which notice issued u/s 133(6) to the party were returned un-served by the postal authorities. Therefore, he came to the conclusion that purchase from the said party is bogus in nature. It is the contentions of the assessee before the ....