TaxTMI 
TaxTMI 
2025 (8) TMI 1280
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....Gupta, passed out from Regional Engineering College in 1988. Lalit Gupta joined Indian Air Force as Short Service Commission Officer. Lalit Gupta joined various Telecom companies such as Escotel Mobile Communications, Nortel Networks, Tekelec systems till 2008. Till date, he has vital experience of 34 years. Spectra Televentures Pvt. Ltd is primarily a Telecom Services company working as service provider with different Telecom Operators, Infrastructure providers and Telecom OEM vendors. Spectra is doing civil laying of optical fiber, Man holes, repair of RCC, road etc. Spectra is also doing civil and electrical work for tower foundations, network checking and resources supply and other associated civil Maintenance works as well. Spectra has prime telecom customers like Reliance Jio, Indus Telecom Infra, Airtel, Bharti Infra, American Tower Company, Samsung, Nokia etc. Spectra is also doing trading business in Drawing and colouring books and mobile accessories. Spectra has also worked in Solar civil work and installation work for KEC, Enerpac, Tata projects and Amplus. Spectra is also providing, telecom Transport services for their telecom customers." 3. The return of income for ....
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.... respect of only four suppliers and the entire purchases were held as bogus based on outcome from such four suppliers which also were duly rebuttal by the assessee. Ld.AR further submits that during the course of assessment proceedings, the assessee has provided new addresses of the suppliers and it was stated by the assessee that all the suppliers are assessed to Income tax and filed their Income Tax returns. With respect to the mis-match in items traded as per GST certificate, it was submitted that in GST Certificate, only five commodities could be mentioned and there is a possibility that the goods purchased by the assessee are other than those however, the same must be part of the total approved items. Since the assessee had purchased the goods after payment of GST and it is not alleged by the GST authorities that such purchases were not in terms of GST certificate issued to the supplier party, no adverse inference could be called for in this regard. Ld.AR further submits that the judgement relied upon by Ld. DR is distinguishable on facts as in that case, assessee was failed to file any details therefore, the Hon'ble Court was of the view that entire purchases were bogus where....
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....ions related to such bogus purchases are re-produced as under: - "The assessee had incurred purchases amounting to Rs. 12,88,63,261/-for the year under consideration. The assessee was asked to establish the genuineness of such transactions and also establish the credibility of the suppliers. The assessee had submitted invoice copies and ITs of few persons with whom the assessee had entered into such transactions. All the submissions were verified and it is noticed that the total income offered in ITR by the suppliers is very less when compared to the amount of purchase transactions made with the assessee. On perusal of the ITR of Kiran Bala (Prop Jai Durga trading co), the total income offered to tax amounts to Rs, 3,66,660/- whereas the purchase transaction amounts to Rs. 47,94,989/-. Further, independent enquiry was conducted and it was found that in case of two suppliers i.e. M/s. M.J. international and Srinath traders, the persons are not traceable to the address provided by the assessee. On further verification it is found that one of them does not exist at that particular address. Such evidences depict that the said purchase transaction are not genu....
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.... to the total income.* 7.2.3.During the appellate proceedings, the appellant submitted his reply on 19.10.2023. The appellant raised many issues including the issue of personal hearing which was claimed but not granted to him. Whereas, the Ld. A.O.'s order suggest that the opportunity was availed by the appellant. Even if, the opportunity was not granted by the A.O., the submission and other document are examined at the appellate level, hence, this ground of the appellant is not allowed here. In his reply, the appellant submitted the purchases made by him (but this allowed by A.O.), in the table on the issue raised by the AO that the suppliers are showing low income as compared to the sale. The appellant contended that income is not directly related to the sales of the parties which was made basis by the A.O. for treating the purchases (sales of parties) of the appellant as non-genuine. The appellant further submitted that the new addresses of the parties were made available to the A.O. but the Ld.A.O. did not try to serve the notices at these new addressed. The appellant has also mentioned that the stock register of sale and purchase was produced before the A.O. but t....