Sanjay Oilcake Industries v. CIT

Anil Jain, Mumbai vs. ITO 25(2)(1), Mumbai

In the result, the appeal of the assessee is hereby ordered to be dismissed

Bench: Shri Shamim Yahya, Am & Shri Amarjit Singh, Jm आयकरअपीलसं/I.T.A. No.2494/M/2017 (निर्धारणवर्ा / Assessment Year: 2009-10) Anil Jain बिधम/ Ito 25(2)(1) Prop Jainson Marble Centre, R.No. 701, C012 Vs. S.K. Gupta, Compound, Opp Prattakshar Bhavan, Bkc Blossom Societ, Military Rd, Mumbai - Marol, Andheri(E)Pin:400059 स्थायीलेखासं./जीआइआरसं./Pan/Gir No. : Aaiphj4066H .. (अपीलाथी/Appellant) (प्रत्यथी /Respondent)

…own in the accounts but timer usher sources. The Tribunal was of the opinion that not the entire amount but she profit would be in such amount would an subject to tax. 5.6 In the ease or M/s. Sanjay Oilcake Industries V. commissioner of Income tax reported in 316 ITR 274 (Cu)) The Hon’ble Court had upheld the action of the CIT(A} and ITAT in determining estate) addition of 25% of the purchases in cases involving bogus purchases. the head note is as under:- 'Assessment income from undisclosedsource – addition on account of inflated purchase price- Estimate-Not a question of law- No material produce by assessee to…

Asst CIT 14(1), Mumbai vs. Kantilal C Jain, Mumbai

The appeal of the assessee is partly allowed

Bench: Shri Joginder Singh & Shri Ramit Kocharassessment Year: 2010-11 Asst. Cit-14(1), Shri Kantilal C. Jain 2Nd Floor, Earnest House, M/S. Shailesh Jewellers बनाम/ Nariman Point, Shop No. 4, 2Nd Floor, Vs. Mumbai-400 021 108/112, Ustad Building, Zaveri Bazar, Opp. Khara Kuwa, Mumbai-400 002 ("नधा"रती /Assessee) Pan. No. Aadpj 9583 E

…acts of the present appeals before us, we deem it appropriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

Jvm Steel P. Ltd, Mumbai vs. ITO 6(3)(3), Mumbai

Bench: Shri Rajendra, Am & Shri Sandeep Gosain, Jm

…cts and circumstances of the present case and while relying upon the following judgments:- 1) ClT vs Bholanath Poly Fab Ltd. (2013) 355 ITR 290 (Guj). (HC), 2. CIT v Simit D, Sheth (2013) 356 ITR 451 (Guj)-(HC) and 3. CIT vs. Sanjay Oil Cake Industries (2009) 316 ITR 274 (Guj) (1C) and taking into consideration the facts of the present case, and to account for the profit element embedded in these purchase transactions to factorize profit earned by assessee against purchase of material in the grey market and undue benefit of VAT against bogus purchases, we are of the considered view that restricting the additions…

ITO 20(2)(4), Mumbai vs. Nisrin Mohd Deesawal, Mumbai

Accordingly this ground raised by the revenue is partly allowed

Bench: Shri Rajendra, Am & Shri Sandeep Gosain, Jm आयकरअपीलसं./ I.T.A. No. 6241/Mum/2016, (निर्धारणवर्ा / Assessment Year: 2009-10)

…ss of the purchase. In such circumstances and while relying upon the following judgments:- 1) ClT vs Bholanath Poly Fab Ltd. (2013) 355 ITR 290 (Guj). (HC), 2. CIT v Simit D, Sheth (2013) 356 ITR 451 (Guj)-(HC) and 3. CIT vs. Sanjay Oil Cake Industries (2009) 316 ITR 274 (Guj) (1C) and taking into consideration the facts of the present case, and to account for the profit element embedded in these purchase transactions to factorize profit earned by assessee against 5 I.T.A. No. 6241/Mum/2016 Nisrin Mohd. Deesawal. purchase of material in the grey market and undue benefit of VAT against bogus purchases, we are of…

ITO 31(2)(3), Mumbai vs. Bharatkumar Nagraj Jain, Mumbai

Bench: Shri Joginder Singh & Shri N.K. Pradhanassessment Years: 2009-10 Income Tax Officer-31(2)(3), Mr. Bharatkumar Nagraj (Erstwhile Income Tax Officer- Jain, बनाम/ 24(3)(4), Proprietor Of N.R. Vs. R. No.705, C-11, 7Th Floor, Computech, 23/11, Pratyakshkar Bhavan, Jawahar Nagar, B.K.C. Bandra (East), Goregaon (East), Mumbai-400051 Mumbai-400063 (राज"व /Revenue) ("नधा"रती /Assessee) P.A. No. Acwpj1720C C.O. No.07/Mum/2017 (Arising Out Of Ita No.2608/Mum/2015) Assessment Years: 2009-10 Mr. Bharatkumar Nagraj Jain, Income Tax Officer-31(2)(3), Proprietor Of N.R. Computech, (Erstwhile Income Tax बनाम/ 23/11, Jawahar Nagar, Officer-24(3)(4), Vs. Goregaon (East), R. No.705, C-11, 7Th Floor, Mumbai-400063 Pratyakshkar Bhavan, B.K.C. Bandra (East), Mumbai-400051 ("नधा"रती /Assessee) (राज"व /Revenue) P.A. No. Acwpj1720C C.O. No.06 To 08/Mum/2017 Bharat Kumar Nagraj Jain Assessment Years: 2010-11 Income Tax Officer-31(2)(3), Mr. Bharatkumar Nagraj (Erstwhile Income Tax Officer- Jain, बनाम/ 24(3)(4), Proprietor Of N.R. Vs. R. No.705, C-11, 7Th Floor, Computech, 23/11, Pratyakshkar Bhavan, Jawahar Nagar, B.K.C. Bandra (East), Goregaon (East), Mumbai-400051 Mumbai-400063 (राज"व /Revenue) ("नधा"रती /Assessee) P.A. No. Acwpj1720C

…cts of the present appeals before us, we deem it appropriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- C.O. No.06 to 08/Mum/2017 Bharat Kumar Nagraj Jain “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In th…

ITO WD 3(4), Kalyan vs. Haresh M Valiya, Dombivali

Accordingly this ground raised by the revenue is partly allowed

Bench: Shri Shamim Yahya, Am & Shri Sandeep Gosain, Jm आयकरअपीलसं./ I.T.A. No. 3515/Mum/2017, (निर्धारणवर्ा / Assessment Year: 2011-12)

…cts and circumstances of the present case and while relying upon the following judgments:- 1) ClT vs Bholanath Poly Fab Ltd. (2013) 355 ITR 290 (Guj). (HC), 2. CIT v Simit D, Sheth (2013) 356 ITR 451 (Guj)-(HC) and 3. CIT vs. Sanjay Oil Cake Industries (2009) 316 ITR 274 (Guj) (1C) and taking into consideration the facts of the present case, and to account for the profit element embedded in these purchase transactions to factorize profit earned by assessee against purchase of material in the grey market and undue benefit of VAT against bogus purchases, we are of the considered view that restricting the additions…

Hans Chemicals P.Ltd, Mumbai vs. ITO 9(2)(1), Mumbai

In the result, appeal of the revenue is dismissed whereas appeal of the assessee is allowed in part

Bench: Shri R.C.Sharma, Am & Shri Sandeep Gosain, Jm M/S. Hans Chemicals Pvt. Ltd., Vs. Ito 9(2)(1) 407, Panchsheel 2A Raheja Aayakar Bhavan Township L.S. Rajeka Cross Road Mumbai – 400 020 No.3, Malad (E), Mumbai – 400 097 Pan/Gir No. Aabch5433N Appellant) .. Respondent) Ito 12(2)(3) Vs. M/S. Hans Chemicals Pvt. Ltd., Aayakar Bhavan 407, Panchsheel 2A Raheja Mumbai – 400 020 Township L.S. Rajeka Cross Road No.3, Malad (E), Mumbai – 400 097 Pan/Gir No. Aabch5433N Appellant) .. Respondent) Assessee By Shri Neel Khandelwal Revenue By Shri V. Justin

…is noted that only profit element is liable to tax in such cases as was held in the case of : 1. CIT vs. Bholanath Poly Fab Ltd. (2013) 355 ITR 290 (Guj). (HC) 2. CIT v Simit P. Sheth (2013) 356 ITR 451 (Guj) (HC) 3. CIT vs. Sanjay Oil Cake Industries (2009) 316 ITR 274 (Guj) (HC) 4. ITO vs. Permanand (2007) 107 TTJ 395 (Jd)(Trib.) 5. Shri Madhukant B. Gandhi vs. ITO ITA No. 1950/M/2009 Bench 'B' dt. 23-02-2010 (AY 2005-06) (Mum.)(Trib.) 5. Sanjeev Woolen Millls Vs. CIT (2005) 279 ITR 434 (SC) 6.6 In view of the above discussion, it is seen that the addition made by the AO on account of alleged bogus purchase ca…

Shekasa Engineering Co., Mumbai vs. DCIT Cir 7(2), Mumbai

The appeal of the assessee is partly allowed

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Year: 2009-10 Shekasa Engineering Co. Dcit, Pvt. Ltd., Circle-8(2)(1), बनाम/ 02Nd Floor, 182/186, Metal Room No.670, Vs. House, Kalbadevi Road, Aayakar Bhavan, Opp. Cotton Exchange, M. K. Road, Mumbai-400002 Mumbai-400002 ("नधा"रती/Assessee) (राज"व /Revenue) Pan No.:-Aaacs7426F "नधा"रती क" ओर से / Assessee By Shri Satish Mody Shri V. Justin-Dr राज"व क" ओर से / Revenue By 14/09/2017 सुनवाई क" तार"ख / Date Of Hearing : 14/09/2017 आदेश क" तार"ख /Date Of Order: आदेश / O R D E R

…acts of the present appeal before us, we deem it appropriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

ITO 15(3)(2), Mumbai vs. Yogiraj Powertech P.Ltd, Mumbai

In the result, Revenue appeal is dismissed

Bench: Shri C.N. Prasad, Hon'Ble & Shri G. Manjunathan, Hon'Bleincome Tax Officer – 15(3)(2) V. M/S. Yogiraj Powertech Pvt Ltd. Room No.15 B, Ground Floor, 2Nd Floor, B-2,8,9 &10 Aayakar Bhavan, M.K.Road, Groma House, Plot No.14C, Mumbai – 400 020 Sector 19, Vashi, Navi Mumbai-400 705

…oods. In that view of the matter, as natural corollary, not the entire amount covered under such purchase, but the profit element embedded therein would be subject to tax. This was the view of this Court in the case of Sanjay Oilcake Industries vs. C/T (2009) 316 ITR 274 (Guj.). Such decision is also followed by this Court in a judgment dated August 16, 2011, in Tax Appeal No. 679 of 2010 in the case of C/T vs. Kishor Amrutlal Patel. In the result, tax appeal is dismissed". 2.4.27 The facts in the present case are similar to the facts in the above mentioned case. In the present case, the Ld. AO has shown that the…

ITO 15(1)(4), Mumbai vs. Ravindra Ganesh Nene, Navi Mumbai

In the result, Revenue’s appeals are dismissed

Bench: Shri C.N. Prasad, Hon'Ble & Shri G. Manjunathan, Hon'Ble

…oods. In that view of the matter, as natural corollary, not the entire amount covered under such purchase, but the profit element embedded therein would be subject to tax. This was the view of this Court in the case of Sanjay Oilcake Industries vs. C/T (2009) 316 ITR 274 (Guj.). Such decision is also followed by this Court in a judgment dated August 16, 2011, in Tax Appeal No. 679 of 2010 in the case of C/T vs. Kishor Amrutlal Patel. In the result, tax appeal is dismissed". 2.4.27 The facts in the present case are similar to the facts in the above mentioned case. In the present case, the Ld. AO has shown that the…

Asst CIT 8(3)(1), Mumbai vs. Ravindra Ganesh Nene, Navi Mumbai

In the result, Revenue’s appeals are dismissed

Bench: Shri C.N. Prasad, Hon'Ble & Shri G. Manjunathan, Hon'Ble

…oods. In that view of the matter, as natural corollary, not the entire amount covered under such purchase, but the profit element embedded therein would be subject to tax. This was the view of this Court in the case of Sanjay Oilcake Industries vs. C/T (2009) 316 ITR 274 (Guj.). Such decision is also followed by this Court in a judgment dated August 16, 2011, in Tax Appeal No. 679 of 2010 in the case of C/T vs. Kishor Amrutlal Patel. In the result, tax appeal is dismissed". 2.4.27 The facts in the present case are similar to the facts in the above mentioned case. In the present case, the Ld. AO has shown that the…

ITO 14(2)(2), Mumbai vs. T M Mohamedally, Mumbai

The appeal of the Revenue is dismissed

Bench: Shri Joginder Singh & Shri G. Manjunathaassessment Years: 2009-10 Income Tax Officer-14(2)(2), M/S T M Mohamedally Room No.304, 3Rd Floor, Hararwala Bldg. बनाम/ Earnest House, 112, Lohar Chawl, Vs. Nariman Point, Mumbai-400002 Mumbai-400021 (राज"व /Revenue) ("नधा"रती/Assessee) Pan No.:-Aacft2448M

…cts of the present appeals before us, we deem it appropriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

Kapoor Industries, Mumbai vs. ITO 26(2)(1), Mumbai

In the result, this appeal filed by the assessee stands dismissed

Bench: Shri Shamim Yahyaआयकर अपील सं./I.T.A. No. 542/Mum/2017 ("नधा"रण वष" / Assessment Year: 2009-10) Kapoor Industries Ito-26(2)(1), बनाम/ Room No. 601, 6Th Floor, 161-A, Sai Kutir, Lbs Marg, Kurla West, Mumbai-400 070 C-12, Pratyakshkar Bhavan, Vs. Bkc, Bandra, Mumbai-400 051 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aaafk 4742 M (अपीलाथ" /Appellant) (""यथ" / Respondent) : अपीलाथ" क" ओर से / Appellant By : Shri Dinesh Rasiklal Shah ""यथ" क" ओर से/Respondent By : Shri V. Jenardhanan सुनवाई क" तार"ख / : 03.07.2017 Date Of Hearing घोषणा क" तार"ख / : 07.09.2017 Date Of Pronouncement आदेश / O R D E R Per Shamim Yahya, A. M.: This Appeal By The Assessee Is Directed Against Order Of Learned Cit(A)-38, Mumbai Dated 30.11.2016 & Pertains To Assessment Year 2009-10. 2. The Issue Raised Is That Cit(A) Erred In Sustaining Disallowance Of 25% Of Bogus Purchase Amounting To Rs.8,55,497/-.

…on 06.04.2015 whereby the Supreme Court has dismissed the SLP confirmed the order dated 09.12.2014 passed by the Gujarat High Court and other decisions of the High Court of Gujarat in the case of Sanjay Oilcake Industries Vs. Commissioner of Income Tax (2009) 316 ITR 274 (Guj) and N.K. Industries Ltd. Vs. Dy. C.I.T., Tax Appeal No.240/2003 decided on 20.06.2016, the parties are bound by the principle of law pronounced in the aforesaid three judgments. 14. I find that the Hon’ble Higher Courts have accordingly affirmed the disallowance of bogus purchases as above. It is settled law that decisions of Hon’ble Suprem…

Rajendra Chandulal Shah, Mumbai vs. ITO 33(3)(1), Mumbai

In the result, this appeal filed by the assessee stands dismissed

Bench: Shri Shamim Yahya

…It is noted that only profit element is liable to tax in such cases as was held in the case of – 1. CIT vs Bholanath Poly Fab Ltd. (2013) 355ITR 290 (Guj) (HC) 2. CIT vs Simit P. Sheth (2013) 356 ITR 451 (Guj) (HC) 3. CIT vs Sanjay Oil Cake Industries (2009) 316 ITR 274 (Guj) (HC) 4. ITO vs Permanand (2007) 107 TTJ 395 Qd) (Trib.) 5. Shri Madhukant B. Gandhi vs ITOITA No. 1950/M/2009 Bench 'B' dt. 23-02-2010 (AY 2005-06) (Mum.) (Trib.) 6. Sanjeev Woolen Mills vs CIT (2005) 279ITR 434 (SC) 4 ITA No.2937/Mum/2017. Shri Rajendra Chandulal Shah. In view of the above discussion, it is seen that the addition made by…

Kshitj Interiors P.Ltd, Mumbai vs. DCIT 10(1)(2), Mumbai

The appeals of the assessee are dismissed

Bench: Shri Joginder Singh & Shri Rajesh Kumar

…opriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay ITA Nos.2272 & 2273/Mum/2017 4 Kishitij J. Interiors Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

DCIT 9(1)(1), Mumbai vs. Acon Measurement P.Ltd, Mumbai

The appeal of the Revenue is dismissed and the

Bench: Shri Joginder Singh & Shri Rajesh Kumarassessment Year: 2009-10 Dcit -9(1))(1), M/S Acon Measurement Pvt. Room No.260A, 02Nd Floor बनाम/ Limited, Aayakar Bhavan A-22, Nanddham Indl. Estate, Vs. M.K. Road Marol Maroshi Road, Mumbai-400020. Andheri (East), Mumbai-400059 (राज"व /Revenue) ("नधा"रती /Assessee) Pan. No. Aaaca5078K

…ppeals before us, we deem it appropriate to C.O. No.112/Mum/2017 consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

ACIT Cir 4(2), Mumbai vs. Kaysons Agencies P.Ltd, Mumbai

The appeal of the assessee is partly allowed

Bench: Shri Joginder Singh & Shri Rajesh Kumarassessment Year:2007-08

…r added 10% of the disputed purchases. We deem it appropriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

Kaysons Agencies Pvt. Ltd., Mumbai vs. A.C.I.T.Cir.4(2), Mumbai

The appeal of the assessee is partly allowed

Bench: Shri Joginder Singh & Shri Rajesh Kumarassessment Year:2007-08

…r added 10% of the disputed purchases. We deem it appropriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

Kaysons Agencies P.Ltd, Mumbai vs. ACIT Cen Cir 20, Mumbai

The appeal of the assessee is partly allowed

Bench: Shri Joginder Singh & Shri Rajesh Kumarassessment Year:2007-08

…r added 10% of the disputed purchases. We deem it appropriate to consider various decisions from Hon'ble High Courts/Hon'ble Apex Court, so that we can reach to a proper conclusion. The Hon'ble Gujarat High Court in Sanjay Oilcakes Industries vs CIT (2009) 316 ITR 274 (Guj.) held as under:- “11. Having heard the learned advocates appearing for the respective parties, it is apparent that no interference is called for in the impugned order of the Tribunal dated April 29, 1994, read with the order dated September 29, 1994, made in miscellaneous application. In the principal order the Tribunal has recorded the fo…

Shyam K Gyanchandani, Ulhasnagar vs. ACIT Cir (2), Kalyan

In the result, this appeal by the assessee stands partly allowed

Bench: Shri Shamim Yahya

…Dealer. Accordingly, the book result of the appellant is rejected u/s.145(3) of the Act. The disallowance @ 25% out of unverifiable purchases from unverifiable/hawala dealer had been upheld in the following cases: (1) Sanjay Oil Cake Industries Vs CIT (2008) 316 ITR 274 (Guj) (2) Vijay Proteins Ltd Vs ACIT 58 ITD 428 (Abd) (3) M/s Nand Kishore Meghraj Jewellers, Jaipur CO. No. 105/JP/09 arising out of ITA No. 433/JP/2009 by ITAT Jaipur (4) M/s. Trident Jewellers ITAT Jaipur ITA No. 552/JP/2013. In view of the above stated facts, the disallowance @ 25% of Rs.5,44,589/-works out to Rs.1,36,147/- and the same is ad…