CIT v. Bholanath Poly Fab. Pvt. Ltd.

355 ITR 290High Court2013#73 most cited

What is CIT v. Bholanath Poly Fab. Pvt. Ltd. authority for?

If an assessee makes purchases from bogus parties, but the underlying goods are genuinely acquired and sold, only the profit margin embedded in such purchases, and not the entire value of the bogus purchases, should be added to the assessee's income.

712

judgments rely on this decision, according to BharatTax’s citation analysis of 371,887 Indian tax judgments — from 2016 to 2026.

Also referred to as

CIT v. Bholanath Poly Fab · 355 ITR 290 · bogus purchases · accommodation entry · unexplained expenditure · profit margin · gross profit rate · section 37(1) · section 68 · section 153A · genuineness of purchases · entire purchases addition

Sections most often in play

Section 143(3)Section 148Section 147Section 37(1)Section 153ASection 132Section 133(6)Section 68

Issues it is cited on

section 292csection 44absection 69csection 131commissioner (appeals)section 132(4)accommodation entrysection 145section 37(1)section 133(6)escapement of incomeunexplained expenditure

Judgments citing CIT v. Bholanath Poly Fab. Pvt. Ltd.

The Dy. Commissioner of Income Tax, Central Circle-5(1), Mumbai vs. M/S Skyway Infra Projects Private Limited, Mumbai

In the result, cross objections of the assessee are dismissed, cross objections of the assessee are dismissed, cross objections of the assessee are dismissed, whereas appeals of the revenue are par...

ITA 2665/MUM/2022[2013-14]Status: HeardITAT Mumbai28 Feb 2023AY 2013-14

Bench: Shri Aby T Varkey () & Shri Om Prakash Kant () Assessment Year: 2013-14 & Assessment Year: 2014-15 & Assessment Year: 2015-16 & Assessment Year: 2016-17 & Assessment Year: 2017-18 & Assessment Year: 2018-19 & Assessment Year: 2019-20 & Assessment Year: 2020-21

…this regard, the decisions in the following case are be disallowed. In this regard, the decisions in the following case are be disallowed. In this regard, the decisions in the following case are relevant In the case of CIT v.Bholanath Poly Fab (P.) Ltd. 20131 355 ITR 290 In the case of CIT v.Bholanath Poly Fab (P.) Ltd. 20131 355 ITR 290 In the case of CIT v.Bholanath Poly Fab (P.) Ltd. 20131 355 ITR 290 (Gujarat), the Hon'ble High Court of Gujarat has held that where (Gujarat), the Hon'ble High Court of Gujarat has held that where (Gujarat), the Hon'ble High Court of Gujarat has held that where assessee did purc…

Income Tax Officer, Ward-2(3)(8), Surat vs. Sanjaykumar Devkishan Panwar, Surat

In the result the ground No

ITA 588/SRT/2019[2008-09]Status: DisposedITAT Surat22 Feb 2023AY 2008-09

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकर अपील सं./Ita No.569/Srt/2019 Assessment Year: (2008-09) (Physical Court Hearing) Sanjaykumar Devkishan Panwar, Vs. The Ito, Ward-2(3)(8), 207, 2Nd Floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni Sheri, Mahidharpura, Surat – 395003. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aovpp8989A (Revenue)/(Appellant) (Assessee)/(Respondent) आयकर अपील सं./Ita No.588/Srt/2019 Assessment Year: (2008-09) The Ito, Ward-2(3)(8), Vs. Sanjaykumar Devkishan Panwar, 207, 2Nd Floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni Sheri, Mahidharpura, Surat – 395003 "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aovpp8989A (Revenue)/(Appellant) (Assessee)/(Respondent) Assessee By Shri Rohit Vijayvargia, Ca Shri Ritesh Mishra, Cit(Dr) Respondent By Date Of Hearing 03/02/2023 Date Of Pronouncement 20/02/2023

Section 143(3)Section 147Section 148

…IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT BEFORE SHRI PAWAN SINGH, JM & DR. A. L. SAINI, AM आयकर अपील सं./ITA No.569/SRT/2019 Assessment Year: (2008-09) (Physical Court Hearing) Sanjaykumar Devkishan Panwar, Vs. The ITO, Ward-2(3)(8), 207, 2nd floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni Sheri, Mahidharpura, Surat – 395003. "थायीलेखासं./जीआइआरसं./PAN/GIR No.: AOVPP8989A (Revenue)/(Appellant) (Assessee)/(Respondent) आयकर अपील सं./ITA No.588/SRT/2019 Assessment Year: (2008-09) The ITO, Ward-2(3)(8), Vs. Sanjaykumar Devkishan Panwar, 207, 2nd floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni…

Sanjaykumar Devkishan Panwar, Surat vs. Income Tax Officer, Ward-2(3)(8), Surat

In the result the ground No

ITA 569/SRT/2019[2008-09]Status: DisposedITAT Surat22 Feb 2023AY 2008-09

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकर अपील सं./Ita No.569/Srt/2019 Assessment Year: (2008-09) (Physical Court Hearing) Sanjaykumar Devkishan Panwar, Vs. The Ito, Ward-2(3)(8), 207, 2Nd Floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni Sheri, Mahidharpura, Surat – 395003. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aovpp8989A (Revenue)/(Appellant) (Assessee)/(Respondent) आयकर अपील सं./Ita No.588/Srt/2019 Assessment Year: (2008-09) The Ito, Ward-2(3)(8), Vs. Sanjaykumar Devkishan Panwar, 207, 2Nd Floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni Sheri, Mahidharpura, Surat – 395003 "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aovpp8989A (Revenue)/(Appellant) (Assessee)/(Respondent) Assessee By Shri Rohit Vijayvargia, Ca Shri Ritesh Mishra, Cit(Dr) Respondent By Date Of Hearing 03/02/2023 Date Of Pronouncement 20/02/2023

Section 143(3)Section 147Section 148

…IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT BENCH, SURAT BEFORE SHRI PAWAN SINGH, JM & DR. A. L. SAINI, AM आयकर अपील सं./ITA No.569/SRT/2019 Assessment Year: (2008-09) (Physical Court Hearing) Sanjaykumar Devkishan Panwar, Vs. The ITO, Ward-2(3)(8), 207, 2nd floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni Sheri, Mahidharpura, Surat – 395003. "थायीलेखासं./जीआइआरसं./PAN/GIR No.: AOVPP8989A (Revenue)/(Appellant) (Assessee)/(Respondent) आयकर अपील सं./ITA No.588/SRT/2019 Assessment Year: (2008-09) The ITO, Ward-2(3)(8), Vs. Sanjaykumar Devkishan Panwar, 207, 2nd floor, 6/2060/61 Vedant Surat. Building Bojabhai Ni…

Late Shri Bhimsen Darbarilal Arora, Surat vs. The Asstt. Commissioner of Income Tax, Circle-5, Surat

In the result, ground no.4 raised by assessee is allowed for statistical purposes

ITA 1706/AHD/2016[2010-11]Status: DisposedITAT Surat22 Feb 2023AY 2010-11

Bench: Shri Pawan Singh, Jm & Dr. A. L. Saini, Am आयकर अपील सं./Ita No.1706/Ahd/2016 "नधा"रणवष"/Assessment Year: (2010-11) (Physical Court Hearing) Bhimsen Darbarilal Arora Through, Vs. The Acit, Circle-5, L/H. Rajat Bhimsen Arora, Surat. Smt. Mamta Bhimsen Arora, A-201, Madhulika Apartment, Bhatar Road, Surat. (Appellant) (Respondent) "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Acaps9230L

Section 133ASection 143(3)Section 145(3)Section 68

…2014 (e) M/s. Sundry Exports Ltd. 2003-04 CAS-II/49/TFRD/12-13 24.12.2012 10.9 It is pertinent to refer to the decisions of jurisdictional High Court in the case of GIT Vs. Sathyanarayan P. Rathi (Guj) 351 ITR 150 & CIT Vs. Bholanath Poly Fab Pvt. Ltd. (2013) 355 ITR 290 (Guj) wherein it was held that based on facts on record, the Hon'ble ITAT came to right conclusion that the assessee did purchases goods & sold them, therefore, as a natural corollary, not the entire amount covered under such purchases but the profit element embedded therein would be subjected to tax. It was held that parties had not supplied the…

Shri Jai Bhagwan Mittal, Mumbai vs. Income Tax Officer, Ward-2(3), Thane

In the result, appeal filed by the assessee is partly allowed

ITA 2963/MUM/2022[2009-2010]Status: DisposedITAT Mumbai21 Feb 2023AY 2009-2010

Bench: Shri Kuldip Singh, Hon'Ble & Shri S. Rifaur Rahman, Hon'Bleshri Jai Bhagwan Mittal V. Income Tax Officer – 2(3) 18/1301 Shree Shashwat Mira Ashar I.T. Park Bhayander Road, Mira Road (E) Wagle Industrial Estate Thane- 401107 Thane, Mumbai - 400604 Pan: Adlpm8443M (Appellant) (Respondent)

Section 133(6)Section 143(1)Section 143(3)Section 147Section 148Section 69C

…ot in dispute that sales have been accepted as non-genuine from out of these parties. When the sales have been accepted as genuine the entire purchases cannot be treated as non-genuine. The Hon'ble Gujarat High Court in the case of Bholanath Polyfab Pvt. Ltd [355 ITR 290] held that when the assessee made purchases and sold the finished goods as a natural corollary not the entire amount covered under such purchases would be subject to tax but only the profit element embedded therein. Similar view has been taken by the Hon'ble Gujarat High Court in the case of CIT v. Simit P. Seth [38 taxman.com 385]. Simply becaus…

Sawailal Bhatti, Mumbai vs. ITO- 20(3)(2), Mumbai

In the result, appeals filed by the assessee are partly allowed

ITA 3189/MUM/2022[2009-10]Status: DisposedITAT Mumbai10 Feb 2023AY 2009-10

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

Section 143(1)Section 147

…not in dispute that sales have been accepted as genuine from out of these purchases. When the sales have been accepted as genuine the entire purchases cannot be treated as non-genuine. The Hon'ble Gujarat High Court in the case of Bholanath Polyfab Pvt. Ltd [355 ITR 290] held that when the assessee made purchases and sold the finished goods as a natural corollary not the entire amount covered under such purchases would be subject to tax but only the profit element embedded therein. Similar view has been taken by the Hon'ble Gujarat High Court in the case of CIT v. Simit P. Seth [38 taxman.com 385]. Simply becaus…

ACIT, New Delhi vs. M/S. Dhadda International, Delhi

In the result, the appeals filed by the Revenue are partly allowed

ITA 6692/DEL/2016[2008-09]Status: DisposedITAT Delhi03 Feb 2023AY 2008-09
For Appellant: Shri K. Sampath, AdvocateFor Respondent: Shri Vipul Kashyap, Sr. DR
Section 132Section 147Section 271(1)(c)

…. 9 ITA Nos.6408 & 6409/Del./2016 ITA Nos.6691 & 6692/Del./2016 13. Ld. Counsel for the assessee relied upon the order of ld. CIT (A) and placed reliance upon the order of Hon’ble Gujarat High Court in the case of CIT vs. Bholanath Poly Fab (P.) Ltd. (2013) 355 ITR 290 (Guj.). 14. We find that as per the report of Investigation Wing, M/s. Bhanwar Lal Group of companies were engaged in bogus transactions of accommodation entries of sales and purchases of share capital and unsecured loans. However, in the present case, AO was informed that these are purchases from the concerned companies. Without making any fur…

ACIT, New Delhi vs. M/S. Dhadda International, Delhi

In the result, the appeals filed by the Revenue are partly allowed

ITA 6691/DEL/2016[2007-08]Status: DisposedITAT Delhi03 Feb 2023AY 2007-08
For Appellant: Shri K. Sampath, AdvocateFor Respondent: Shri Vipul Kashyap, Sr. DR
Section 132Section 147Section 271(1)(c)

…. 9 ITA Nos.6408 & 6409/Del./2016 ITA Nos.6691 & 6692/Del./2016 13. Ld. Counsel for the assessee relied upon the order of ld. CIT (A) and placed reliance upon the order of Hon’ble Gujarat High Court in the case of CIT vs. Bholanath Poly Fab (P.) Ltd. (2013) 355 ITR 290 (Guj.). 14. We find that as per the report of Investigation Wing, M/s. Bhanwar Lal Group of companies were engaged in bogus transactions of accommodation entries of sales and purchases of share capital and unsecured loans. However, in the present case, AO was informed that these are purchases from the concerned companies. Without making any fur…

M/S Dhadda International, Delhi vs. ACIT, New Delhi

In the result, the appeals filed by the Revenue are partly allowed

ITA 6409/DEL/2016[2008-09]Status: DisposedITAT Delhi03 Feb 2023AY 2008-09
For Appellant: Shri K. Sampath, AdvocateFor Respondent: Shri Vipul Kashyap, Sr. DR
Section 132Section 147Section 271(1)(c)

…. 9 ITA Nos.6408 & 6409/Del./2016 ITA Nos.6691 & 6692/Del./2016 13. Ld. Counsel for the assessee relied upon the order of ld. CIT (A) and placed reliance upon the order of Hon’ble Gujarat High Court in the case of CIT vs. Bholanath Poly Fab (P.) Ltd. (2013) 355 ITR 290 (Guj.). 14. We find that as per the report of Investigation Wing, M/s. Bhanwar Lal Group of companies were engaged in bogus transactions of accommodation entries of sales and purchases of share capital and unsecured loans. However, in the present case, AO was informed that these are purchases from the concerned companies. Without making any fur…

M/S Dhadda International, Delhi vs. ACIT, New Delhi

In the result, the appeals filed by the Revenue are partly allowed

ITA 6408/DEL/2016[2007-08]Status: DisposedITAT Delhi03 Feb 2023AY 2007-08
For Appellant: Shri K. Sampath, AdvocateFor Respondent: Shri Vipul Kashyap, Sr. DR
Section 132Section 147Section 271(1)(c)

…. 9 ITA Nos.6408 & 6409/Del./2016 ITA Nos.6691 & 6692/Del./2016 13. Ld. Counsel for the assessee relied upon the order of ld. CIT (A) and placed reliance upon the order of Hon’ble Gujarat High Court in the case of CIT vs. Bholanath Poly Fab (P.) Ltd. (2013) 355 ITR 290 (Guj.). 14. We find that as per the report of Investigation Wing, M/s. Bhanwar Lal Group of companies were engaged in bogus transactions of accommodation entries of sales and purchases of share capital and unsecured loans. However, in the present case, AO was informed that these are purchases from the concerned companies. Without making any fur…

The Income Tax Officer, Ward-4, Morbi vs. M/S. Rang Cera Coat, Morbi

The appeal of the Revenue is dismissed

ITA 229/RJT/2018[2011-12]Status: DisposedITAT Rajkot25 Jan 2023AY 2011-12

Bench: Mrs. Annapurna Gupta & Shri T.R. Senthil Kumar"नधा"रणवष"/Assessment Year: 2011-12 Income Tax Officer, Vs. M/S. Rang Cera Coat, Ward-4, 8-A, National Highway, Morbi Morbi Pan :Aalfr 1616 A अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Revenue By : Shri B.D. Gupta, Sr. Dr Assessee By : Shri Vimal Desai, Ar सुनवाई क" तार"ख/Date Of Hearing : 14.11.2022 घोषणा क" तार"ख /Date Of Pronouncement: 25.01.2023

For Appellant: Shri Vimal Desai, ARFor Respondent: Shri B.D. Gupta, Sr. DR
Section 131Section 133(6)Section 148

…of purchases from M/s Parth Chem Impex Pvt. Ltd. is improper and untenable in law. This view holds good even if the purchases are treated as bogus. This view is also supported by the Hon'ble Gujarat High Court judgment in case of Bholanath Ply Fab Pvt. Ltd. (355 ITR 290) and Simit P. Sheth (356 ITR 451) relied upon by the appellant. 7.4 In view of the above facts, it emerges that the appellant has submitted relevant documents in support of purchases made from M/s Parth Chem Impex Pvt. Ltd.; the appellant has disclosed sales from such purchases which has not been doubted; the appellant has also maintained quantit…

Assistant Commissioner of Income Tax-25(3), Mumbai vs. Span Associates, Mumbai

In the result the appeal of the Revenue is dismissed

ITA 4258/MUM/2017[2011-12]Status: DisposedITAT Mumbai30 Dec 2022AY 2011-12

Bench: Shri Om Prakash Kant () Before Shri Om Prakash Kant () Before Shri Om Prakash Kant () & Shri Rahul Chaudhary () Shri Rahul Chaudhary () Shri Rahul Chaudhary () Assessment Year: Assessment Year: 2011-12

For Appellant: Mr. Vijay Mehta, ARFor Respondent: Mr. Manish Ajudiya, DR
Section 40A(3)

…in embedded in such amount would be subjected to tax. Similar views were expressed in Bholanath Polyfab Pvt. subjected to tax. Similar views were expressed in Bholanath Polyfab Pvt. subjected to tax. Similar views were expressed in Bholanath Polyfab Pvt. Ltd. 355 ITR 290 (Guj). Further, It has been held in the case of f CIT vs. Ltd. 355 ITR 290 (Guj). Further, It has been held in the case of f CIT vs. Ltd. 355 ITR 290 (Guj). Further, It has been held in the case of f CIT vs. Simit Sheth (2013) 38 Taxmann.com 385 (Guj), that addition to the extent Simit Sheth (2013) 38 Taxmann.com 385 (Guj), that addition to the e…

The ACIT Central-1, Bhopal vs. Shri Narendra Gupta, Gwalior

ITA 795/IND/2018[2014-15]Status: DisposedITAT Indore01 Dec 2022AY 2014-15

Bench: Shri T.R. Senthil Kumar & Shri B.M. Biyani(Conducted Through Virtual Court) Assessment Year: 2014-15 Acit Central-1 Shri Narendra Gupta, Bhopal Gwalior बनाम/ Vs. (Appellant / Revenue) (Respondent / Assessee) Pan: Afqpg 8055 A Revenue By Shri P.K. Mitra, Cit-Dr Respondent By Shri Ashish Goyal & Shri N.D. Patwa, Ars Date Of Hearing 08.09.2022 Date Of Pronouncement 01.12.2022

Section 131Section 132Section 143(3)

…dopted. This proposition finds support in the following case laws:- •CIT vis Samir Synthetics Mill 326 ITR 410 (Guj); •CIT vis gurbachan Singh J Juneja 302 ITR 63 (Guj); •R R Carrying Corporation vis ACit 126 TTJ 240 (CTK); •Cit vis Bholanath Poly Fab Pvt Ltd 355 ITR 290 (Guj); •Sarawati Oil Traders vis CIT 231 CTR (Chhattisgarh) 165; I find considerable force in this argument and facts of record also support this proposition that in this case Ld AO erred in adding the entire amount of impugned transactions instead of adding commission income which the assessee could legitimately command from these clients for t…

Assistant Commissioner of Income Tax Central Circle, Amritsar vs. M/S Punjab Rice Land Private Limited, Tarn Taran

In the result, both the appeals of the revenue are dismissed and

ITA 45/ASR/2021[2014-15]Status: DisposedITAT Amritsar15 Nov 2022AY 2014-15

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

For Appellant: Sh. Jatinder Nagpal, Adv. & Sh. Nimish Nagpal, CAFor Respondent: Sh. Rohit Mehra, CIT DR
Section 132(4)

…IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE DR. M. L. MEENA, ACCOUNTANT MEMBER AND SH. ANIKESH BANERJEE, JUDICIAL MEMBER I.T.A. Nos. 44 & 45/Asr/2021 Assessment Years: 2012-13 & 2014-15 Asstt. C.I.T., Vs. M/s Punjab Rice Land Pvt. Central Circle, Ltd. Chabaal Road, Amritsar Tarn Taran [PAN: AAACP 9645B] (Appellant) (Respondent) C. O. No. 4/Asr/2022 (Arising out of ITA No. 44/Asr/2021) Assessment Year: 2012-13 M/s Punjab Rice Land Pvt. Vs. Asstt. C.I.T., Ltd. Chabaal Road, Tarn Central Circle, Taran Amritsar [PAN: AAACP 9645B] (Respondent) (Appellant) Appellant by : Sh. Ja…

Assistant Commissioner of Income Tax Central Circle, Amritsar vs. M/S Punjab Rice Land Private Limited, Tarn Taran

In the result, both the appeals of the revenue are dismissed and

ITA 44/ASR/2021[2012-13]Status: DisposedITAT Amritsar15 Nov 2022AY 2012-13

Bench: Dr. M. L. Meena & Sh. Anikesh Banerjee

For Appellant: Sh. Jatinder Nagpal, Adv. & Sh. Nimish Nagpal, CAFor Respondent: Sh. Rohit Mehra, CIT DR
Section 132(4)

…IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR BEFORE DR. M. L. MEENA, ACCOUNTANT MEMBER AND SH. ANIKESH BANERJEE, JUDICIAL MEMBER I.T.A. Nos. 44 & 45/Asr/2021 Assessment Years: 2012-13 & 2014-15 Asstt. C.I.T., Vs. M/s Punjab Rice Land Pvt. Central Circle, Ltd. Chabaal Road, Amritsar Tarn Taran [PAN: AAACP 9645B] (Appellant) (Respondent) C. O. No. 4/Asr/2022 (Arising out of ITA No. 44/Asr/2021) Assessment Year: 2012-13 M/s Punjab Rice Land Pvt. Vs. Asstt. C.I.T., Ltd. Chabaal Road, Tarn Central Circle, Taran Amritsar [PAN: AAACP 9645B] (Respondent) (Appellant) Appellant by : Sh. Ja…

Remy Diamonds Private Limited, Mumbai vs. Principal Commissioner of Income Tax - 5, Mumbai

In the result, the appeals filed by the assessee are allowed for statistical purpose

ITA 3900/MUM/2018[2010-11]Status: DisposedITAT Mumbai21 Oct 2022AY 2010-11

Bench: Shri Aby T. Varkey, Jm & Shri S. Rifaur Rahman, Am आयकर अपील सं/ I.T.A. Nos. 3898 To 3900/Mum/2018 (निर्धारण वर्ा / Assessment Year: 2008-09 To 2010-11) Remy Diamonds Pvt. Ltd. बिधम/ The Principal Commissioner Gw-1060, G- Block, Bharat Of Income Tax-5 Vs. Diamond Bourse, Mumbai Aayakar Bhavan, M. K. Kurla Complex, Bandra (E), Road, Mumbai-400051 Mumbai-400051. आयकर अपील सं/ I.T.A. Nos. 5481 To 5483/Mum/2018 (निर्धारण वर्ा / Assessment Year: 2008-09 To 2010-11) Remy Diamonds Pvt. Ltd. बिधम/ Dcit, Circle-5(3)(1) Gw-1060, G- Block, Bharat Room No.573, Aayakar Vs. Diamond Bourse, Mumbai Bhavan, M. K. Road, Kurla Complex, Bandra (E), Mumbai-400020. Mumbai-400051. स्थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aadcr2195R (अपीलाथी /Appellant) .. (प्रत्यथी / Respondent) Assessee By: Shri Hiren Vepari Revenue By: Smt. Mahita Nair (Sr. Ar) सुनवाई की तारीख / Date Of Hearing: 13/09/2022 घोषणा की तारीख /Date Of Pronouncement: 21/10/2022 आदेश / O R D E R Per Bench:

For Appellant: Shri Hiren VepariFor Respondent: Smt. Mahita Nair (Sr. AR)
Section 132Section 147Section 263

…on prevails in respect of the purchases purported to have been made from M/s. Sun Raj Exports & Shri Om Export. 5.2 The Hon’ble Gujarat High Court vide its order dated 23.10.2012 im the case of Commissioner of Income-tax v. Bholanath Poly Fab (P.) Ltd (2013) 355 ITR 290 (Gujarat) upheld the findings of the Tribunal that though purchases were made from bogus parties, but purchases themselves were not bogus as entire quantity of stock was sold by the assessee and, hence, only the profit margin embedded in such purchases would be subjected to tax and not entire purchases. The Hon’ble Gujarat High Court has again in…

Remy Diamonds Private Limited, Mumbai vs. Principal Commissioner of Income Tax - 5, Mumbai

In the result, the appeals filed by the assessee are allowed for statistical purpose

ITA 3899/MUM/2018[2009-10]Status: DisposedITAT Mumbai21 Oct 2022AY 2009-10

Bench: Shri Aby T. Varkey, Jm & Shri S. Rifaur Rahman, Am आयकर अपील सं/ I.T.A. Nos. 3898 To 3900/Mum/2018 (निर्धारण वर्ा / Assessment Year: 2008-09 To 2010-11) Remy Diamonds Pvt. Ltd. बिधम/ The Principal Commissioner Gw-1060, G- Block, Bharat Of Income Tax-5 Vs. Diamond Bourse, Mumbai Aayakar Bhavan, M. K. Kurla Complex, Bandra (E), Road, Mumbai-400051 Mumbai-400051. आयकर अपील सं/ I.T.A. Nos. 5481 To 5483/Mum/2018 (निर्धारण वर्ा / Assessment Year: 2008-09 To 2010-11) Remy Diamonds Pvt. Ltd. बिधम/ Dcit, Circle-5(3)(1) Gw-1060, G- Block, Bharat Room No.573, Aayakar Vs. Diamond Bourse, Mumbai Bhavan, M. K. Road, Kurla Complex, Bandra (E), Mumbai-400020. Mumbai-400051. स्थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aadcr2195R (अपीलाथी /Appellant) .. (प्रत्यथी / Respondent) Assessee By: Shri Hiren Vepari Revenue By: Smt. Mahita Nair (Sr. Ar) सुनवाई की तारीख / Date Of Hearing: 13/09/2022 घोषणा की तारीख /Date Of Pronouncement: 21/10/2022 आदेश / O R D E R Per Bench:

For Appellant: Shri Hiren VepariFor Respondent: Smt. Mahita Nair (Sr. AR)
Section 132Section 147Section 263

…on prevails in respect of the purchases purported to have been made from M/s. Sun Raj Exports & Shri Om Export. 5.2 The Hon’ble Gujarat High Court vide its order dated 23.10.2012 im the case of Commissioner of Income-tax v. Bholanath Poly Fab (P.) Ltd (2013) 355 ITR 290 (Gujarat) upheld the findings of the Tribunal that though purchases were made from bogus parties, but purchases themselves were not bogus as entire quantity of stock was sold by the assessee and, hence, only the profit margin embedded in such purchases would be subjected to tax and not entire purchases. The Hon’ble Gujarat High Court has again in…

Remy Diamonds Private Limited, Mumbai vs. Principal Commissioner of Income Tax - 5, Mumbai

In the result, the appeals filed by the assessee are allowed for statistical purpose

ITA 3898/MUM/2018[2008-09]Status: DisposedITAT Mumbai21 Oct 2022AY 2008-09

Bench: Shri Aby T. Varkey, Jm & Shri S. Rifaur Rahman, Am आयकर अपील सं/ I.T.A. Nos. 3898 To 3900/Mum/2018 (निर्धारण वर्ा / Assessment Year: 2008-09 To 2010-11) Remy Diamonds Pvt. Ltd. बिधम/ The Principal Commissioner Gw-1060, G- Block, Bharat Of Income Tax-5 Vs. Diamond Bourse, Mumbai Aayakar Bhavan, M. K. Kurla Complex, Bandra (E), Road, Mumbai-400051 Mumbai-400051. आयकर अपील सं/ I.T.A. Nos. 5481 To 5483/Mum/2018 (निर्धारण वर्ा / Assessment Year: 2008-09 To 2010-11) Remy Diamonds Pvt. Ltd. बिधम/ Dcit, Circle-5(3)(1) Gw-1060, G- Block, Bharat Room No.573, Aayakar Vs. Diamond Bourse, Mumbai Bhavan, M. K. Road, Kurla Complex, Bandra (E), Mumbai-400020. Mumbai-400051. स्थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aadcr2195R (अपीलाथी /Appellant) .. (प्रत्यथी / Respondent) Assessee By: Shri Hiren Vepari Revenue By: Smt. Mahita Nair (Sr. Ar) सुनवाई की तारीख / Date Of Hearing: 13/09/2022 घोषणा की तारीख /Date Of Pronouncement: 21/10/2022 आदेश / O R D E R Per Bench:

For Appellant: Shri Hiren VepariFor Respondent: Smt. Mahita Nair (Sr. AR)
Section 132Section 147Section 263

…on prevails in respect of the purchases purported to have been made from M/s. Sun Raj Exports & Shri Om Export. 5.2 The Hon’ble Gujarat High Court vide its order dated 23.10.2012 im the case of Commissioner of Income-tax v. Bholanath Poly Fab (P.) Ltd (2013) 355 ITR 290 (Gujarat) upheld the findings of the Tribunal that though purchases were made from bogus parties, but purchases themselves were not bogus as entire quantity of stock was sold by the assessee and, hence, only the profit margin embedded in such purchases would be subjected to tax and not entire purchases. The Hon’ble Gujarat High Court has again in…

Dy. CIT CC -7(40), Mumbai vs. Shree Ambica Gems, Mumbai

In the result, both the appeals of the revenue are dismissed and Cross Objection filed by the assessee are dismissed

ITA 1769/MUM/2022[2018-19]Status: DisposedITAT Mumbai23 Sept 2022AY 2018-19

Bench: Shri Amarjit Singh & Shri Sandeep Singh Karhail

For Appellant: Biren ShahFor Respondent: Pitta Samuel
Section 133ASection 69A

…of unaccounted goods produced and sold by them This could be one of the factors due to which the seller would be willing to charge lower rates for unaccounted goods as compared to accounted for goods. Similar views were expressed in Bholanath Polylab Pvt Ltd 355 ITR 290 (Guj). Having come to such a conclusion, however, the Tribunal was of the opinion that not the entire amount, but the profit margin embedded in such amount would be subjected to tax The Tribunal relied on its earlier decision in the case of Sanket Steel Traders vs ITO IT appeal Nos. 2801 & 2937 (Ahd) of 2008, dated 20-05-2011] and also made refer…

ACIT, Central Circle1(3), Mumbai vs. M/S. Peninsula Land Limited, Mumbai

In the result the appeal filed by the revenue is dismissed

ITA 5632/MUM/2019[2009-10]Status: DisposedITAT Mumbai29 Jul 2022AY 2009-10

Bench: Shri Pavan Kumar Gadale & Shri S Rifaur Rahaman, Accountat Member Ita No. 5632 & 5633/Mum/2019 (A.Y: 2009-10 & 2010-11) Acit, Cc – 1(3) Vs. M/S Peninsula Land 905, 9Th Floor, Pratistha Ltd., Bhavan, Old Cgo Bldg, No. 2, Peninsula (Annexe), M.K .Road, Spenta, Mathuradas Mumbai – 400020. Mill Compound, Senapati Bapat Marg, Parel, Mumbai- 400013. "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aaact5173A Appellant .. Respondent Appellant By : Shri. Aditya Rai. Dr Respondent By : Shri. Vijay Mehta.Ar Date Of Hearing 24.06.2022 Date Of Pronouncement 28.07.2022 आदेश / O R D E R Per Pavan Kumar Gadale, Jm: These Are The Two Appeals Filed The By The Revenue Against The Common Order Of The Commissioner Of Income Tax (Appeals)-47, Mumbai Passed U/S 153A R.W.S 143(3) & 250 Of The Act.

For Appellant: Shri. Aditya Rai. DRFor Respondent: Shri. Vijay Mehta.AR
Section 115JSection 132Section 143(2)Section 143(3)Section 153A

…urt referred to a similar view taken in the case of CIT v. Vijay M. Mistry Construction Ltd. [2013] 40 taxmann.com 22/219 Taxman 145 (Mag.)/355 ITR 498 (Guj.) and CIT v. Bholanath Poly Fab (P.) Ltd. [2013] 40 taxmann.com 494/[2014] 220 Taxman 82 (Mag.)/[2013] 355 ITR 290 (Guj.). ITA No. 5632 & 5633/Mum/2019 M/s peninsula Land Ltd., Mumbai. Therefore, the Id. CIT(A) has rightly directed the AO to restrict the disallowance to 12.5% of the disputed purchases. We uphold the order of the ld. CIT(A) and dismiss the 1st ground of appeal filed by the revenue." 19.24 In view of the various judicial pronouncements discus…