ACIT 17 (3), MUMBAI vs. SANDEEP STEELS, MUMBAI

आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by revenue is a recalled matter since the appeal was disposed-off by Tribunal vide order dated 26/09/2018 on account of low tax effect. However, the order was recalled at revenue’s instance vide order dated 03/07/2019 since the matter was found to be covered under exception 10(e) of CBDT Circular No. 03/2018 dated 11/07/2018. Accordingly, the appeal has come up for fresh hearing before this bench.

2 2. None has appeared for assessee. The perusal of order sheet entries would reveal that none is apeparing for assessee since last many ocassions. Even none was present when the appeal was heard on 26/09/2018 and also when revenue’s misc. application was heard on 14/06/2019. Left with no option, we proceed to adjudicate the appeal after hearing Ld. Sr. DR who pleaded for restoration of assessment framed by Ld. AO. The only issue involved in the appeal is estimated addiitons on account of alleged bogus purchases. 3.1 The material facts are that the assessee being resident firm stated to be enagged in steel items was assessed for the year under consideration u/s 143(3) r.w.s. 147 on 23/02/2015. The original return filed by the assessee was scrutinized u/s 143(3). However, pursuant to receipt of certain information from DGIT (Inv.) / Sales Tax Department, Mumbai, it was alleged that the assessee made suspicious purchases aggregating to Rs.340.43 Lacs from 8 entities as detailed in the assessment order. Accordingly, the case was reopened as per due process of law and the assessee was required to file requisite details to substantiate these purchases. 3.2 In support of purchases, the assessee furnished certain documents viz. account confirmation of suppliers, stock statement, correlation between sales & purchase. However, the assessee could not produce any of the suppliers for confirmation of account. No fresh confirmation of statements could be furnished by the assessee. The Ld. AO also observed that the assessee could not file vital documents such as delivery challans, transport receipts, octroi receipts, weighment receipts,