TaxTMI 
TaxTMI 
2017 (9) TMI 1935
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....t 'the Act'). 2. Brief facts of the case are that the assessee engaged in trading of iron and steel goods, filed its return of income for the assessment year under consideration declaring the total income of Rs. 2,55,220/-. The assessment was accordingly completed under section 143 (3) of the Act, after making addition of Rs. 62,940/-under section 68 of the Act and Rs. 3,00,000/- as agricultural income. 3. The assessment was reopened under section 147 of the Act on the basis of information received from Sales Tax Department, government of Maharashtra to the effect that certain parties have issued bogus bills without selling goods and the assessee was one of the beneficiaries who obtained bogus bills for Rs. 61,90,074/- from six p....
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.... the assessee. 5. In the first appeal, the Ld. CIT(A) partly allowed the appeal of the assessee and restricted the addition to 10% of the total bogus purchases made by the assessee during the relevant year. The revenue is in appeal against the impugned order passed by the Ld. CIT(A) by raising the following effective grounds of appeal:- 1. "On the facts and in the circumstances of the case, the Ld. CIT (A) has erred in relying on the decision of Supreme Court in case of Kanchwala Gems Vs. JCIT 288 ITR 10(SC) and Hon'ble Court's decision in the case of Vijay Protein, Sanjay Oil Cake Industries, etc. 2. On the facts and in the circumstances of the case, and in law, the Hon'ble CIT (A) erred in not following the order....
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....ted the sales hundred percent addition cannot be made. The Ld. counsel further submitted that in order to prove the genuineness of purchases in question, the assessee has submitted copies of purchase bills and addresses of the parties and details of quantity purchased, consumed and sold. The assessee has also placed on record the Bank statement to prove that the payments were made through banking channels. The Ld. counsel further submitted that in view of the judgment of the Hon'ble High Court CIT Vs. Nikunj Eximp Enterprises Pvt. Ltd. 372 ITR 619 (Bom), the Ld. CIT(A) rightly restricted the addition to 10 % of the total bogus purchases made by the assessee during the relevant financial year. 8. We have heard the rival submissions and al....
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.... available to the assessee, in respect of any person is made available to the assessee, then such quantum is not to be included in this hands of assessee for raised by assessee in both the appeals are allowed as indicated above." Similarly, while deciding the appeal in the case of M/s Patco Precision Components Pvt. Ltd., the Hon'ble ITAT has directed the A.O. in concluding para 14, as under:- "The assessee had asked for copies of statements recorded by Sales Tax Department of the suppliers and to allow cross examination. The Assessing Officer in the present case also has not supplied the said statements to the assessee and the case of the assessee, though was that, the first aspect in the present case is the availability ....