INCOME TAX OFFICER WARD 47(1), DELHI vs. R L TRADERS, DELHI

ITA 3763/DEL/2024Status: DisposedITAT Delhi06 June 2025Bench: MS. MADHUMITA ROY (Judicial Member), SHRI KHETTRA MOHAN ROY (Accountant Member)12 pages
AI SummaryPartly Allowed

What did the Tribunal hold?

The Tribunal held that the addition for lower GP was not sustainable as the AO did not provide sufficient details. Regarding bogus creditors, the Tribunal partly deleted additions based on subsequent payments and offering to income, but sustained additions for some creditors where genuineness was not established.

What were the facts?

The assessee and revenue filed cross-appeals against a common order related to assessment years 2008-09 and 2008. The case involved additions made by the AO regarding lower Gross Profit, bogus creditors, and disallowance of interest to a partner.

What were the issues?

Whether the addition on account of lower GP, bogus creditors, and interest to partner were sustainable, and whether the CIT(A) erred in deleting or sustaining such additions.

Which sections of the Income-tax Act were involved?

Section 144,Section 41(1),Section 68,Section 133(6),Section 143(2)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, “F” BENCH, DELHI

Before: MS. MADHUMITA ROY & SHRI KHETTRA MOHAN ROY

For Respondent: Ms. Harpreet Kaur Hansra, Sr
Hearing: 03.06.2025Pronounced: 06.06.2025

PER KHETTRA MOHAN ROY, AM:

The cross appeals preferred by the assessee and the revenue are directed against the common order dated 04.04.2024 passed by the Ld. National Faceless Appeal Centre (NFAC) arising out of the Assessment Order dated 22.12.2010, passed by the ACIT, CC-17, New Delhi, under Section 144 of the Income Tax Act, 1961 (h

The order continues below.

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