2021 (5) TMI 377

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....e directed against a common order of learned CIT-A dated 16.7.2019, wherein following penalty levied under 271(1)(c) of the Act has been sustained:- Assessment year Amount of penalty 2008-09 10,43,087/- 2009-10 9,52,177/ 2. Brief facts of the case leading to the levy of penalty are that the assessing officer in these cases made disallowance of 3.89% y being the gross profit ra....

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....rts were verified and turnover was ascertained. The assessee submitted that they transfer money to their bank account located in Kanpur, Kolkata, etc. were made to finance the purchases of raw meat for onward transportation to Bombay and export thereafter. The assessee was asked to submit the purchase bills and other supporting documents such as address, pan, name of the parties from whom the purc....

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....(1) Turnover(2) 20% Difference of receipts and Turnover(3) 3. 89% of Col. 3 48,05,87,697 26,54,77,785 4,30,21,982 16,73,555 With the discussion in above para, the total addition made on account of bogus purchase is Rs. 16,73,555/- and the same is added back to the total income of the assessee. Penalty proceeding u/s. 271(1)(c) of the IT Act is initiated separately for....

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....iciencies and the quantum of purchase vouchers involved in this regard. Upon the said 20% adhoc bogus purchase he has disallowed gross profit ratio of 3.89%. However the assessing officer did not doubt the sales. The learned CIT-A confirmed the addition. Penalty under section 271(1)(c) of the Act was also levied. 7. As clear from the facts recorded above the disallowance has been made on an est....