2024 (8) TMI 1239

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ed 15.04.2024 passed u/s. 250 of the Income-tax Act, 1961 [hereinafter referred to as "Act"] for Assessment Year [A.Y.] 2012-13. 2. The grounds of appeal raised by the assessee are as under: "1. On the facts and circumstances of the case as well as in Law, the Learned Assessing Officer has grossly erred in re-opening assessment proceedings under section 143(3) read with section 147 of the Income Tax Act, 1961. The reopening of assessment is without jurisdiction, illegal and infractions ab-inito. 2. On the facts and circumstances of the case as well as in Law, the Learned Commissioner of Income Tax (Appeals), NFAC has grossly erred in confirming addition of 25% of the alleged bogus purchases of Rs. 7,20,30,027, based on unsubstantiated ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..../s. 69C of the IT Act, 1961 being unexplained purchases without appreciating that the statement recorded of Shri Rajendra Jain and his associates has confirmed that accommodation entries provided to assessee". 4. This appeal is being filed as it is covered under the exception provided in CBDT's Circular No.05/2024 dated 15.03.2024. 4. Brief facts are that the assessee, a diamond merchant, filed his return for AY 2012-13 declaring total income of Rs. 10,42,328/-. The return was processed u/s 143(1) of the Act. Subsequently, the AO received information from the Investigation Wing regarding accommodation entries taken by the assessee from Rajendra Jain Group Concerns. Accordingly, the case was reopened u/s 148 of the Act. The assessee s....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... reproduced below: 3."............................considering the facts or the case, If your honour is still contemplating addition, what can be taxed is only the profit not the whole of the sales. Attention is also invited to completed Assessments for A.Y. 2014-15 & Α.Υ. 2011- 12 where on similar facts for some of the same parties addition was restricted to 3% of the alleged bogus purchases. Assessee pleads that considering the background and in terms of maintain continuity, even if your honour is contemplating addition, the contemplated addition needs to be similarly restricted. The submission of the assessee has been perused, however, the same is not acceptable. If at all the transaction was genuine, the assessee was su....