TaxTMI 
TaxTMI 
2021 (2) TMI 1061
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....f the Income Tax Act, 1961 [hereinafter referred to as the 'Act'] is directed against the order dated 12th April, 2019 passed by the Income Tax Appellate Tribunal in I.T. Appeal No. 6520/Del/2018, for the Assessment Year 2014-15, whereby the appeal of the Assessee has been allowed. 4. Briefly stated, the Assessee company is engaged in the business of importing mobile phones from China and selling them in India. It purchases mobile phones on credit basis from certain vendors/manufacturers in China, and sells most of the phones to Indian buyers/suppliers as high-seas sales. Using the proceeds of sales which are paid in cash by the Indian buyers, the Assessee satisfies the credit extended by the Chinese sellers/manufacturers. On reaching In....
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....t be doubted merely because the customs authorities have verified the documents at the time of clearing the goods for home consumption and while approving the high seas sale. He submits that the facts and circumstances before the customs authorities were completely different from those before the Assessing Officer. The customs officer was not presented with the fact that the underlying transaction was carried out fully in cash; the identity and contact details of the purchasers are unavailable with the purchasers being currently untraceable; and that there is a vast mismatch between the dates of sale and the date of deposit of cash into the bank accounts. Mr. Hossain further points out that there is absolutely no co-operation or assistance ....
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....of the Revenue is limited to the deletion of the addition of Rs. 59,51,29,517/- made by the AO under Section 68 of the Act. In this regard, the following questions of law are urged: "A. Whether the findings of the ITAT are vitiated in law by reason of it having ignored relevant and material facts before it and in placing reliance on paper work and documentation? B. Whether on the facts and circumstances of the case the conclusion of the Tribunal that the Assessee had proved the genuineness of high-sea sale beyond doubt was perverse and was arrived at without due consideration of the material facts mentioned by the AO in the Order?" 10. On the aspect of additions being made under Section 68 of the Act, we notice that the....
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....s agreement, the name and address of the buyer of goods is mentioned and it is the same address which is given by the Assessee to the income tax authorities. Therefore, it cannot be stated that such party was not available at the time when the Assessee made the sales. Moreover, all the buyers of goods from high sea sales have importer exporter code. Copy of importer exporter code of all the buyers is placed in the paper book and we find that this importer exporter code also gives the name and address of the parties to whom importer exporter code is given, its phone number, e-mail address, date of establishment banker details, name of the directors etc. That the delivery of goods is taken from the custom authorities by those buyers ....