How many judgments cite CIT v. Bholanath Poly Fab. Pvt. Ltd.?

712 judgments on BharatTax cite CIT v. Bholanath Poly Fab. Pvt. Ltd. (355 ITR 290), spanning 2016 to 2026.

Which sections of the Income Tax Act does CIT v. Bholanath Poly Fab. Pvt. Ltd. come up under?

It is most often cited in judgments turning on Section 143(3), Section 148, Section 147, Section 37(1), Section 153A, Section 132.

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 148 Section 147 Section 37(1)Section 153A Section 132 Section 133(6)Section 68

Issues it is cited on

section 292c section 44ab section 69c section 131 commissioner (appeals)section 132(4)accommodation entry section 145 section 37(1)section 133(6)escapement of income unexplained expenditure

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

Shyamdhar S. Mishra, Mumbai vs. DCIT 13(2), Mumbai

The appeals of the assessee are partly allowed

ITA 4314/MUM/2016[2011-12]Status: DisposedITAT Mumbai15 May 2018AY 2011-12

Bench: Shri Joginder Singh & Shri Manoj Kumar Aggarwal

Section 133(6)Section 147

…rmed. Hon'ble Apex Court in Kachwala Gems vs JCIT (2007) 158 taxman 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 3.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- Shyamdhar S. Mishra “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quant…

Shyamdhar S. Mishra, Mumbai vs. ITO 13(2)(3), Mumbai

The appeals of the assessee are partly allowed

ITA 4313/MUM/2016[2010-11]Status: DisposedITAT Mumbai15 May 2018AY 2010-11

Bench: Shri Joginder Singh & Shri Manoj Kumar Aggarwal

Section 133(6)Section 147

ITO 19(1)(2), Mumbai vs. Babulal U Munot, Mumbai

In the result, the appeal filed by the revenue is hereby ordered to be dismissed

ITA 4506/MUM/2015[2010-11]Status: DisposedITAT Mumbai11 May 2018AY 2010-11

Bench: Shri Rajendra, Am & Shri Amarjit Singh, Jm आयकर अपील सं/ I.T.A. No.4506/Mum/2015 (निर्धारण वर्ा / Assessment Year: 2010-11) The Ito-19(1)(2), Mumbai, बिधम/ Shri Babulal U Munot 2Nd Floor, Matru Mandir, Prop. M/S. Steel Samrat Vs. (India) Flat No. 1901-A, 19Th Tardeo Road, Mumbai- 400007 Floor, Shreepati Tower, A Wing, Tatya Gharpure Path, Girgaon Mumbai-04 स्थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Aftpm5429H (अपीलाथी /Appellant) (प्रत्यथी / Respondent) .. Revenue By: Shri T. A. Khan (Dr) Assessee By: None सुनवाई की तारीख / Date Of Hearing: 26.03.2018 घोषणा की तारीख /Date Of Pronouncement: 11.05.2018 आदेश / O R D E R Per Amarjit Singh, Jm: The Revenue Has Filed The Present Appeal Against The Order Dated 15.05.2015 Passed By The Commissioner Of Income Tax (Appeals) -30, Mumbai [Hereinafter Referred To As The “Cit(A)”] Relevant To The A.Y.2010- 11. 2. The Revenue Has Raised The Following Grounds: - “(1) Whether, On The Facts & In The Circumstances Of The Case & In Law, The Ld. Cit(A) Has Erred In Restricting The Addition To The Extent Of 7.5% Of Non-Genuine Purchase Claimed By The Assessee A.Y.2010-11

For Appellant: NoneFor Respondent: Shri T. A. Khan (DR)

Section 133(6)Section 143(1)Section 143(2)Section 69C

…ch do not occasion failure of justice are not allowed to defeat the ends of justice. Principles of natural justice are but the means to achieve the end of justice. They cannot be perverted to achieve from opposite end." _ 2.4.27 In Bholanath Polyfab Pvt. Ltd. 355 ITR 290 (Guj). the facts of the case were that the assessee was engaged in the business of trading in finished fabrics. For the A.Y. 2005-06, the Assessing Officer held that the purchases worth Rs.40,69,546/- were unexplained He, therefore, disallowed such.expenditure claimed by the assessee and computed the total income of Rs.41r1G,187/- The issue was c…

Sachin Laxman Jangid, Thane vs. ITO WD 3(3), Thane

The appeal of the assessee is partly allowed

ITA 1071/MUM/2016[2009-10]Status: DisposedITAT Mumbai10 May 2018AY 2009-10

Bench: Shri Joginder Singh & Shri Manoj Kumar Aggarwalassessment Year: 2009-10 Shri Sachin Laxman Jangid, Income Tax Officer, Porp. Sachin Construction, Ward-3(3), बनाम/ 1, Mandelia House, Wagle Ind. Estate, Vs. Ramesh Pradhan Road, Thane (W)-400604 Naupada, Thane-400602 ("नधा"रती /Assessee) (राज"व /Revenue) Pan. No. Adbpj0867C "नधा"रती क" ओर से / Assessee By Shri M.Subramanian Shri M.V. Rajguru-Dr राज"व क" ओर से / Revenue By 10/05/2018 सुनवाई क" तार"ख / Date Of Hearing: 10/05/2018 आदेश क" तार"ख /Date Of Order:

Section 147

…Kachwala Gems vs JCIT (2007) 158 taxman 6 Shri Sachin Laxman Jangid 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 2.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quantity of opening stock…

Mokalsar Steel Private Limited, Mumbai vs. Income Tax Officer 5(2)(3), Mumbai

In the result, the appeal Assessee is partly allowed

ITA 720/MUM/2018[2011-12]Status: DisposedITAT Mumbai07 May 2018AY 2011-12

Bench: Sri Mahavir Singh

For Appellant: NoneFor Respondent: V Vidhyadhar, DR

Section 143(3)Section 147

…Aayakr ApIlaIya AiQakrNa “SMC” nyaayapIz maMuba[- mao. IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH, MUMBAI BEFORE SRI MAHAVIR SINGH, JUDICIAL MEMBER Aayakr ApIla saM./ ITA No. 720/Mum/2018 (inaQa-arNa baYa- / Assessment Year 2011-12) Mokalsar Steel Pvt. Ltd. The Income Tax Officer, 104, 1st Floor, Kandoori Ward No. 5(2)(3),Room No. Vs. Building, 215, Panjrapole 566, Aayakar Bhavan, Road, Mumbai-400 004 Mumbai-20 (ApIlaaqaI- / Appellant) .. (p`%yaqaaI- / Respondent) PAN No. AACCM4584A Assessee by : None Revenue by : V Vidhyadhar, DR Date of hearing: 07-05-2018 Date of pronouncement : 07-05-2018 AadoSa /…

Plaexe Con Services Private Limited, Mumbai vs. Assistant Commissioner of Income Tax Circle1, Kalyan

The appeal of the assessee is partly allowed

ITA 340/MUM/2018[2011-12]Status: DisposedITAT Mumbai03 May 2018AY 2011-12

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Year: 2011-12 M/S Plaexe Con Services Acit, Pvt. Ltd. Circle-1, Wayale Nagar, बनाम/ Manogat, Gajanan Khadak Pada, Kalyan West, Vs. Cooperative Housing Thane-421301 Society, Midc Road Badlapur East, Thane-421301 ("नधा"रती /Assessee) (राज"व /Revenue) P.A. No.Aaecp9267D

…ices Pvt. Ltd. Apex Court in Kachwala Gems vs JCIT (2007) 158 taxman 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 2.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quantity of opening stock…

Ashok K. Shah, Mumbai vs. Income Tax Officer 31(1)(2), Mumbai

The appeal of the assessee is partly allowed

ITA 565/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 May 2018AY 2009-10

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Year: 2009-10 Asok K. Shah, Income Tax Officer-31(1)(2), C-25, Sai Baba Enclave, Mumbai, बनाम/ S.V.Road, Vs. Goregaon West, Mumbai-400062 ("नधा"रती /Assessee) (राज"व /Revenue) P.A. No.Akeps3501N

…rmed. Hon'ble Apex Court in Kachwala Gems vs JCIT (2007) 158 taxman 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 2.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- 6 Ashok K. Shah. “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quantity…

Mr.Ajay C. Shah HUF, Prop. M/S.Glass and Hardware, Mumbai vs. Income Tax Officer-26(1)(1), Mumbai

The appeal of the assessee is partly allowed

ITA 7195/MUM/2017[2010-11]Status: DisposedITAT Mumbai02 May 2018AY 2010-11

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Year: 2010-11 Mr. Ajay C. Shah, Income Tax Officer, C/O- Ajay C. Shah, Huf, Ward-26(1)(1), बनाम/ 60A/11, Sion Mahavir P.K. Bhavan, C-11, Vs. Chs, Scheme Road No.25C, R.No.703, 7Th Floor, Sion (West), Bandra Kurla Complex, Mumbai-400062 Bandra-East, Mumbai-400051 ("नधा"रती /Assessee) (राज"व /Revenue) P.A. No.Aahha5664F

…Apex Court in Kachwala Gems vs JCIT (2007) 158 taxman 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 6 Ajay C. Shah 2.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quantity of opening stock…

Unilex Colours & Chemicals Ltd, Mumbai vs. DCIT 13(1)(1), Mumbai

The appeal of the assessee is allowed for statistical purposes and the Ld

ITA 1556/MUM/2016[2010-11]Status: DisposedITAT Mumbai02 May 2018AY 2010-11

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Year: 2010-11 M/S Unilex Colours & Dcit-13(1)(1), Chemicals Ltd. Mumbai बनाम/ 106-107, Advent Atria, Vs. Chincoli Bunder Road, Malad West, Mumbai-400064 ("नधा"रती /Assessee) (राज"व /Revenue) P.A. No.Aaacu5230F

Section 234B

…ala Gems vs JCIT (2007) 158 taxman 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 6 Unilex Colours & Chemicals Ltd. 2.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quantity of opening stock…

Spectrum Scan P.Ltd, Mumbai vs. Asst CIT 7(2), Mumbai

In the result, appeal of the assessee is partly allowed

ITA 6852/MUM/2016[2009-10]Status: DisposedITAT Mumbai27 Apr 2018AY 2009-10

Bench: Shri G.S. Pannu & Shri Ram Lal Negi: (A.Y : 2009-10)

For Appellant: Shri Rajeev Waglay

Section 143(3)

…) and only a part representing the profit element embedded in the unsubstantiated purchases is added to the returned income. Support has also been drawn from the judgements of the Hon'ble Gujarat High Court in the case of CIT vs Bholanath Poly Fab. (P.) Ltd., 355 ITR 290 (Guj.) and CIT vs Vijay M. Mistry Construction Ltd., 355 ITR 498 (Guj.). 5. On the other hand, the ld. DR has defended the orders of the authorities below and pointed out that when assessee was afforded an opportunity to produce the party, it was not done and, therefore, the entire amount has been rightly added by the Assessing Officer as bogus…

The DCIT, Circle-3(2), Ahmedabad vs. Shri Harjivanbhai Chaganbhai Patel, Ahmedabad

In the result, appeal of the Revenue is dismissed

ITA 2460/AHD/2016[2012-13]Status: DisposedITAT Ahmedabad26 Apr 2018AY 2012-13

Bench: Shri Rajpal Yadav & Shri Pradip Kumar Kediaआयकर अपील सं./ Ita No. 2384/Ahd/2016 Assessment Year : 2012-13 Harjivanbhai C. Patel, Deputy Commissioner Of C/O. Mehta Lodha & Co., Vs Income-Tax, Chartered Accountants, Circle 3(2), 105, Sakar-I, Ashram Road, Ahmedabad Ahmedabad-380009 Pan : Abupp 1238 N आयकर अपील सं./ Ita No. 2460/Ahd/2016 Assessment Year : 2012-13 Deputy Commissioner Of Harjivanbhai C. Patel, C/O. Mehta Lodha & Co., Income-Tax, Vs Chartered Accountants, Circle 3(2), 105, Sakar-I, Ashram Road, Ahmedabad Ahmedabad-380009 Pan : Abupp 1238 N अपीलाथ"/ (Appellant) "" यथ"/ (Respondent) Assessee By : Shri Pd. Shah, Ar Revenue By : Shri Rajdeep Singh, Sr Dr सुनवाई क" तार"ख/Date Of Hearing : 03/04/2018 घोषणा क" तार"ख /Date Of Pronouncement: 27/04/2018 आदेश/O R D E R Per Pradip Kumar Kedia, Am: The Captioned Cross Appeals Have Been Filed At The Instance Of The Revenue & The Assessee Against The Order Of The Cit(A)-3, Ahmedabad Dated 21St July, 2016 Arising In The Assessment Order Dated 27.02.2015 Passed By The Assessing Officer Under Section 143(3) Of The Income-Tax

For Appellant: Shri PD. Shah, ARFor Respondent: Shri Rajdeep Singh, Sr DR

Section 131Section 143(3)

…aid person may be given by your good office to the learned AO. Here we would also line to submit that the judgment of the Hon'ble ITAT in the case of Bholanath Poly Fab Pvt Limited (Supra) has been approved by the Hon'ble Gujarat High Court also. Reported in (355 ITR 290)(Guj)" As can be seen above the appellant has tried to shift the onus to the Department and the attempt to allow cross examination of Shri Dharmendra R. Patel (Prop. Khodal Corporation) to the appellant has not been made by the AO even during remand proceedings. Notwithstanding this fact, startling positive evidences have been brought on record…

Shri Harjivanbhai C. Patel, Ahmedabad vs. The Dy. Commissioner of Income Tax, Circle-3(2), Ahmedabad

In the result, appeal of the Revenue is dismissed

ITA 2384/AHD/2016[2012-13]Status: DisposedITAT Ahmedabad26 Apr 2018AY 2012-13

For Appellant: Shri PD. Shah, ARFor Respondent: Shri Rajdeep Singh, Sr DR

Section 131Section 143(3)

Vijay Metal Corporation, Mumbai vs. Income Tax Officer, Ward 19(3)(5), Mumbai

In the result, the appeal is partly allowed

ITA 959/MUM/2018[2010-11]Status: DisposedITAT Mumbai26 Apr 2018AY 2010-11

Bench: Shri C.N. Prasad () & Shri N.K. Pradhan () Assessment Year: 2010-11 M/S Vijay Metal Corporation Ito-19(3)(5) 73, Habib Building, C.P. Tank Vs. 2Nd Floor, Matru Road, Mandir, Tardeo, Mumbai-400004 Mumbai. Pan No. Aabfv4225D Appellant Respondent Assessee By : Mr. Bharat Kumar, Ar Revenue By : Ms. Poorja Swaroop, Dr Date Of Hearing : 16/04/2018 Date Of Pronouncement : 26/04/2018

For Appellant: Mr. Bharat Kumar, ARFor Respondent: Ms. Poorja Swaroop, DR

Section 133(6)Section 143Section 143(1)Section 143(1)(a)Section 147Section 148

…ent embedded in such purchases can be added to the income of the assessee. The Hon’ble High Court referred to a similar view taken in the case of CIT vs. Vijay M. Mistry Construction Ltd. [2013] 355 ITR 498 (Guj) and CIT vs. Bholanath Poly Fab (P) Ltd. [2013] 355 ITR 290 (Guj). We have gone through the GP ratio and turnover filed by the Ld. counsel from AY 2007-08 to AY 2012-13. Having regard to the facts of the case and the decisions referred hereinbefore, it would be reasonable to estimate the profit @ 10% in place of 12.5% on the alleged bogus purchases. Accordingly, we direct the AO to estimate the profit @ 1…

Bhavna Sunil Joshi, Mumbai vs. ITO 32(1)(3), Mumbai

The appeal of the assessee is partly allowed

ITA 1579/MUM/2016[2011-12]Status: DisposedITAT Mumbai26 Apr 2018AY 2011-12

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Year: 2009-10 Bhavna Sunil Joshi, Income Tax Officer B-71, Bldg. No.4, 7Th Floor, Ward-32(1)(3), बनाम/ Rustom Regency, Pratyaksh Kar Bhavan, Vs. Dahisar (West), Bandra (East), Mumbai-400068 Mumbai-400051 ("नधा"रती /Assessee) (राज"व /Revenue) P.A. No.Aajpj6892N

…rmed. Hon'ble Apex Court in Kachwala Gems vs JCIT (2007) 158 taxman 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 2.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- 6 Bhavna Sunil Joshi “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quan…

Priyal Trading Company, Mumbai vs. Income Tax Officer 17(2)(5, Mumbai

In the result, appeal filed by the assessee for assessment year 2009-

ITA 7246/MUM/2017[2009-10]Status: DisposedITAT Mumbai25 Apr 2018AY 2009-10

Bench: Shri G.S. Pannu (Am) & Shri Ram Lal Negi (Jm) Assessment Year: 2009-10 Priyal Trading Company, The Income Tax Officer 17(2)5, Ground Floor, Datar Niwas, Aaykar Bhavan, 87, Perin Nariman Street, Fort, Maharshi Karve Road, Mumbai - 400001 Vs. Mumbai - 400020 Pan: Aahfp8240Q (Appellant) (Respondent) Assessee By : Ms. Neha Paranjpe Revenue By : Ms. N. Hemalatha (Sr. Dr) Date Of Hearing: 10/04/2018 Date Of Pronouncement: 25/04/2018

For Appellant: Ms. Neha ParanjpeFor Respondent: Ms. N. Hemalatha (Sr. DR)

Section 133(6)Section 142Section 143Section 147

…rejected the contention of the assessee and relying upon the decision of ITAT Bench Mumbai in the case of Shri Madhukant B Gandhi Vs. ITO 1950(Mum) 2009 dated 23.02.2010, judgment of the Hon’ble Gujarat High Court rendered in CIT vs. Bholanath Polyfab P. Ltd. 355 ITR 290 made disallowance of 12.5% of the total amount of bogus purchases determined during the course of assessment proceedings and added the same the said amount to the income of the assessee. 3. The assessee had claimed the commission of Rs. 2,08,567/- paid by it in connection with its business. Accordingly, the assessee was asked to produce the docum…

Ion Exchange Waterleau Ltd., Mumbai vs. ITO 6(3)(2), Mumbai

The appeal of the assessee is partly allowed

ITA 5209/MUM/2016[2009-10]Status: DisposedITAT Mumbai19 Apr 2018AY 2009-10

Bench: Shri Joginder Singh & Shri Ramit Kocharassessment Year: 2009-10 Ion Exchange Waterleau Ltd Ito-6(3)(2), Ion House, 4Th Floor, Dr. E. Room No.503, 5Th Floor, बनाम/ Moses Road, Mahalakshmi, Aayakar Bhavan, Vs. Mumbai-400011 M. K. Road, Mumbai-400020 ("नधा"रती /Assessee) (राज"व /Revenue) Pan. No.Aabci4403P "नधा"रती क" ओर से / Assessee By Shri R.R.V.Raghavan राज"व क" ओर से / Revenue By Shri Saurabh Kumar Rai-Dr

…chwala Gems vs JCIT (2007) 158 taxman 71 observed that an element of guesswork is inevitable in cases, where estimation of income is warranted. 6 Ion Exchange Waterleau Ltd. 2.2 The Hon'ble Gujarat High Court in CIT vs Bholanath Poly Fab. Pvt. Ltd. (2013) 355 ITR 290 (Guj.) held/observed as under:- “5. Having come to such a conclusion, however, the Tribunal was of the opinion that the purchases may have been made from bogus parties, nevertheless, the purchases themselves were not bogus. The Tribunal adverted to the facts and data on record and came to the conclusion that the entire quantity of opening stock,…

DCIT Cir 2, Kalyan vs. Jayprakash N Lakhani, Ulhasnagar

In the result, the appeal is dismissed

ITA 924/MUM/2017[2010-11]Status: DisposedITAT Mumbai18 Apr 2018AY 2010-11

Bench: Shri Joginder Singh () & Shri N.K. Pradhan () Assessment Year: 2010-11 The Dy. Commissioner Shri Jayprakash N Of Income Tax, Circle-2, Vs. Lakhani, F-212, Udyog Kalyan, 2Nd Floor, Mohan Vihar, Near Vithal Wadi, Plaza, Khadakpada, Ulhasnagar-421003 Wayale Nagar, Kalyan (W),- 421301 Pan No. Aakpl5145M Appellant Respondent Revenue By : Ms. Arju Garodia, Dr Assessee By : None Date Of Hearing : 21/03/2018 Date Of Pronouncement : 18/04/2018

For Appellant: NoneFor Respondent: Ms. Arju Garodia, DR

Section 131Section 133(6)Section 143(3)

…(supra) relied on by the Ld. DR. In CIT v. Simit P. Sheth (2013) 38 taxmann.com 385 (Guj.), the Hon’ble Gujarat High Court following the decision in CIT v. Vijay M. Mistry Construction Ltd. [2013] 355 ITR 498 (Guj) &CIT v. Bholanath Poly Fab (P.) Ltd. [2013] 355 ITR 290 (Guj), held that where purchases were not bogus but were made from parties other than those mentioned in books of account, not entire purchase price but only profit element embedded in such purchases can be added to income of assessee. Shri Jayprakash N. Lakhani 6 In facts of the case, the Ld. CIT(A) has rightly restricted the disallowance to Rs…

Jitendra M Kitavat, Mumbai vs. ITO 18(1)(5), Mumbai

In the result,appeals filed by the AO are rejected and the appeals of the assessee stand partly allowed

ITA 7049/MUM/2016[2009-10]Status: DisposedITAT Mumbai13 Apr 2018AY 2009-10

Bench: S/Shri Rajendra & Sandeep Gosainआयकर अपील अपील संसंसंसं./I.T.A./7049 & 7050/Mum/2016,िनधा"रण िनधा"रण वष" वष" /Ays: 2009-10 & 2007-08 आयकर आयकर आयकर अपील अपील िनधा"रण िनधा"रण वष" वष" Jitendra M. Kitavat Ito 18(1)(5) Prop. Of M/S. Jivraj Exports Mumbai. 61, Purnima Apartment Vs. 43, Ridge Road, Mumbai-400 006. Pan: Aabpk9960C (अपीलाथ" /Appellant) (""यथ" / Respondent) आयकर आयकर आयकर आयकर अपील संसंसंसं././././I.T.A./7099 & 7102/Mum/2016,िनधा"रण िनधा"रण वष" वष" /Ay.S: 2009-10 & 2007-08 अपील अपील अपील िनधा"रण िनधा"रण वष" वष" Ito 18(1)(5) Vs. Jitendra M. Kitavat Mumbai. Mumbai-400 006 (अपीलाथ" /Appellant) (""यथ" / Respondent) Revenue By: Shri Rajesh Kumar Yadav-Cit-Dr Assessee By: Shri Vimal Punmiya

For Appellant: Shri Vimal PunmiyaFor Respondent: Shri Rajesh Kumar Yadav-CIT-DR

Section 143(1)Section 148Section 254(1)Section 69

…here was no real transaction. The Ld.CIT(A) also accepted the action of the Assessing Officer in disallowing certain percentage of impugned purchases, in view of the decision of the Hon'ble Gujarat High Court in the case of CIT v. Bholanath Polyfab Pvt. Ltd. [355 ITR 290] and CIT v. Simit P. Seth [356 ITR 451] and accordingly he estimated the profit element in the purchases at 12.5% for all the Assessment Years 2011-12 to 2013-14. 6. Before us the Learned Counsel for the assessee submits that assessee is into trading and export of diamonds and the disallowances were made only based on the admission of Shri Bhanwa…

B.R. Steel Products Pvt. Ltd., Navi Mumbai vs. A.C.I.T.-2(1), Mumbai

In the result, appeal of the assessee is partly allowed

ITA 2088/MUM/2016[2010-11]Status: DisposedITAT Mumbai13 Apr 2018AY 2010-11

Bench: Shri C.N. Prasad, Hon'Ble & Shri N.K. Pradhan, Hon'Blem/S. B.R. Steel Products Pvt. Ltd. V. A.C.I.T – 2(1) C. 39/B, Ttc Industrial Area, Aayakar Bhavan, M.K. Road, Mumbai-400 020 Turbhe Mahpe Road, Navi Mumbai – 400 705

For Appellant: NoneFor Respondent: Shri Ram Tiwari

Section 143(3)Section 147Section 148

…material in gray market and obtained the bills from the parties. In such circumstances when the sales are accepted the entire purchases cannot be disallowed as non-genuine. 7. Further, 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…

Asst CIT 15(2)(2), Mumbai vs. Prashant Projects Ltd, Mumbai

In the result appeal of the assessee as well revenue are allowed for statistical purposes

ITA 4621/MUM/2015[2010-11]Status: DisposedITAT Mumbai13 Apr 2018AY 2010-11

Bench: Shri Mahavir Singh & Shri Ramit Kocharआयकर अपीऱ सं./I.T.A. No.4621/Mum/2015 (नििाारण वर्ा / Assessment Year: 2010-11) बिाम/ Acit 15(2)(2) Prashant Projects Ltd., R.No. 403, 4 T H Floor, R.No. 406-408, Aayakar Bhavan, Plot No. 57, V. M.K. Road, Hermes Atrium, Mumbai 400020 Sector-11, Cbd Belapur, Navi Mumbai 400614 स्थायी ऱेखा सं./ Pan : Aabci0639P (अपीऱाथी /Appellant) .. (प्रत्यथी / Respondent)

For Appellant: Shri. Ajay. R. SinghFor Respondent: Shri. Rajat Mittal

Section 143(3)Section 41Section 41(1)

…es before learned CIT(A). The learned CIT-A confirmed the additions to the tune of 15% of the total alleged bogus purchases The learned CIT(A) relied upon decision of Hon‟ble Gujarat High Court in the case of CIT v. Bholanath Poly Fab Private Ltd. reported in 355 ITR 290(Guj.) and came to conclusion that profit embedded in these purchases are to be brought to tax. Thus , learned CIT-A brought to tax 15% of the alleged bogus purchases towards the profits embedded in such alleged bogus purchases vide appellate order dated 19-05-2015 passed by learned CIT(A). The Revenue is aggrieved by the relief granted by learned…