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493 orders · Page 10 of 10
The CIT(A) correctly restricted the addition to 25% of the alleged bogus purchases after considering that the assessee could not substantiate its purchases from hawala dealers or prove the consumption of material. The revenue's appeal was dismissed as the CIT(A)'s findings were not controverted.
The Tribunal noted that in the preceding year, the addition was restricted to 10%. However, since the assessee did not appeal the CIT(A)'s order reducing the addition to 12.5%, the Tribunal upheld the CIT(A)'s order.
The Tribunal confirmed the order of the CIT(A), finding that the CIT(A) had properly appreciated the facts and correctly restricted the addition to 25% of the purchases. No new information was presented to deviate from this finding.
The Tribunal, considering the purchase bills, supplier confirmations, and bank statements, and noting that books of account were not rejected, decided to restrict the addition to 12.5% of the alleged bogus purchases.
The Tribunal held that the AO had taken a possible view in adjusting the brought forward losses against book profits. Since the issue was debatable and the AO had applied his mind, the CIT was not justified in invoking revisionary jurisdiction under Section 263.
The Tribunal upheld the CIT(A)'s decision to disallow only 12.5% of bogus purchases, reduced by the gross profit already declared. This was because the assessee's sales were not doubted, implying that some actual purchases must have occurred.
The Tribunal found no infirmity in the CIT(A)'s order, stating that if there were no purchases, there could be no disallowance for bogus purchases. The Revenue's grounds of appeal were also found to be misconceived.
The Tribunal found that the assessee had not provided sufficient details to establish the nexus. However, considering the interest of justice, the issue was remitted back to the Assessing Officer for fresh consideration.
The Tribunal held that when sales are not doubted, 100% disallowance for bogus purchases is not justified. The disallowance was modified to be restricted to 12.5% of the bogus purchases, reduced by the gross profit rate already declared by the assessee on these transactions.
The Tribunal upheld the CIT(A)'s decision to sustain only 12.5% disallowance on bogus purchases. It reasoned that when sales are not doubted, 100% disallowance is not justified, but purchases from the grey market warrant some disallowance to meet the ends of justice.
The Tribunal upheld the CIT(A)'s decision to sustain a 12.5% disallowance on bogus purchases. It reasoned that since the assessee's sales were not doubted, a 100% disallowance was not justified, but purchases from the grey market warranted some disallowance.
The Tribunal upheld the CIT(A)'s decision to sustain only 12.5% disallowance on bogus purchases. It reasoned that since the assessee's sales were not doubted, a 100% disallowance was not justified, but a 12.5% disallowance was appropriate given purchases were made through the grey market.
The Tribunal upheld the CIT(A)'s decision to sustain only 12.5% disallowance on bogus purchases. It reasoned that since the assessee's sales were not doubted, a 100% disallowance was not justified, but a 12.5% disallowance was appropriate given purchases were made through the grey market.
The Tribunal upheld the CIT(A)'s decision to sustain a 12.5% disallowance on bogus purchases. It reasoned that when sales are not doubted, 100% disallowance is not justified, and 12.5% meets the ends of justice given grey market purchases.
The Tribunal held that the appeal filed by the Revenue was not maintainable due to a low tax effect, which was below ₹.50 Lakhs. The Tribunal also noted that none of the exceptions in the relevant CBDT circular were applicable.
The Tribunal dismissed the Revenue's appeal as not maintainable. This decision was based on a CBDT circular directing withdrawal of appeals where the tax effect is below a certain threshold.
The Tribunal found that the assessee had provided details of purchases, sales, and stock registers, and there was a one-to-one tally of purchases. Considering the assessee's GP and the nature of business, the Tribunal directed the AO to restrict the addition to 10%.
The Tribunal found that the addition of 12.5% was not justified given the assessee's declared Gross Profit (GP) of 12.95% in previous and subsequent years. Therefore, the addition was restricted to 10% of the bogus purchases.
The tribunal allowed the deduction for bad debts and provision for creditors. The interest expenses were disallowed for the current year but allowed for a subsequent year. The issue of prior period expenses was remanded to the Assessing Officer for fresh adjudication.
The Tribunal held that the AO had examined the expenses in detail and provided justification, and that the PCIT's revision order was not justified. The Tribunal quashed the revision order, allowing the assessee's appeal.
The Tribunal held that while the purchases were non-genuine, the addition should be restricted to the profit embedded in those purchases, after reducing the profit already declared by the assessee.
The Tribunal held that penalty under Section 271(1)(c) is not leviable on additions made on an estimated basis. Since the addition upheld by the CIT(A) was on an estimated commission, the penalty is not sustainable.
The Tribunal held that the AO failed to specify the charge for levying the penalty in the notice, which is a jurisdictional issue. Therefore, the penalty levied is deleted.
The Tribunal dismissed the Revenue's appeal as not maintainable. This decision was based on a CBDT circular directing withdrawal of appeals with a tax effect below Rs. 50,00,000.
The Tribunal held that the deeming provisions of Section 27(iiib) must be construed strictly and that the assessee, as a sub-lessee, cannot be considered the owner for the purpose of taxing rental income as house property. The Tribunal also noted that the department had consistently accepted such income as business income in previous years without any change in facts.
The Tribunal held that the appeal of the Revenue was not maintainable due to the low tax effect, as per CBDT Circular No. 17/2019. Therefore, the appeal was dismissed.
The Tribunal noted that additional evidence was filed by the assessee regarding repairs and maintenance expenses. Consequently, the Tribunal remitted this issue back to the AO for fresh adjudication in light of the new evidence. If the expenses are deemed capital in nature, depreciation at 60% is to be allowed.
The Tribunal held that if a provision for unascertained liability was subsequently paid, it cannot be considered a provision for an unascertained liability. For Section 80IA, the Tribunal followed its own precedent and upheld the CIT(A)'s order. For Section 14A, the Tribunal found the assessee's contentions regarding limiting disallowance to exempt income and the availability of interest-free funds to be cogent, remanding the issue for fresh computation.
The Tribunal held that the discount on the Employee Stock Purchase Scheme is an allowable deduction under Section 37(1) as per the decision in Biocon Ltd. The issue regarding the pension provision was not fully detailed in the provided excerpt, but the final outcome indicates a partial allowance.
The Tribunal dismissed the Revenue's appeal, noting that the CIT(A) had made a categorical finding after considering remand reports and that the Revenue had not raised any grounds challenging the acceptance of the assessee's book results.
The Tribunal held that if a provision for unascertained liability was subsequently paid, it cannot be considered a provision for an unascertained liability. For Section 80IA, the Tribunal followed its own precedent and upheld the CIT(A)'s order. For Section 14A, the Tribunal found the assessee's contentions regarding limiting disallowance to exempt income and the availability of interest-free funds to be cogent, remanding the issue for fresh computation.
The Tribunal held that the assessment orders were passed without proper jurisdiction as the Revenue failed to demonstrate the Additional Commissioner's authority to act as an Assessing Officer. Consequently, the assessment orders were quashed.
The Tribunal held that the disallowance under Section 14A should be restricted to the extent of exempt income earned by the assessee, following various High Court and Supreme Court decisions.
The Tribunal held that the disallowance under Section 14A should be restricted to the extent of exempt income earned by the assessee, following various High Court and Supreme Court decisions.
The Tribunal held that the assessment orders were passed without proper jurisdiction as the Revenue failed to demonstrate the Additional Commissioner's authority to act as an Assessing Officer. Consequently, the assessment orders were quashed.
The Tribunal held that 100% disallowance for bogus purchases is not justified when sales are not doubted. The addition should be limited to the extent of bringing the gross profit rate on such purchases to the same rate as other genuine purchases.
The Tribunal upheld the CIT(A)'s decision to sustain only 12.5% disallowance on bogus purchases. It reasoned that when sales are not doubted, 100% disallowance is not justified, and 12.5% meets the ends of justice given grey market purchases.
The Tribunal upheld the 12.5% disallowance on bogus purchases. While acknowledging that 100% disallowance is not justified when sales are not doubted, the Tribunal found that purchases from the grey market warranted a partial disallowance.
The Tribunal agreed with the submissions of both parties. It held that the appeal of the Revenue was not maintainable due to the low tax effect, as per the CBDT Circular.
The Tribunal held that the disallowance was based on a photocopy of the partnership deed which was submitted by mistake. Since the original deed, containing the necessary clauses, was produced and the practice of allowing such payments was consistent, the disallowance was not sustainable.
The Tribunal held that disallowance under Section 14A read with Rule 8D should only be made on investments yielding exempt income and not on investments that did not yield any exempt income. It also ruled that such disallowance cannot be made while computing book profit under Section 115JB.
The Tribunal held that the TPO erred by not applying any prescribed method for benchmarking the arm's length price and by incorrectly applying the benefit test. The Dispute Resolution Panel (DRP) also erred in its findings regarding the agreement format and the benefit test.
The Tribunal held that 100% disallowance for bogus purchases is not sustainable when sales are not doubted. However, considering purchases were from the grey market, a partial disallowance of 12.5% of bogus purchases, reduced by the gross profit already declared, was deemed appropriate.