“colourable device”

DEPUTY COMMISSIONER OF INCOME TAX CENTRAL CIRCLE 5(3), MUMBAI, MUMBAI vs. SANGHVI DHANRUPJI DEVAJI & CO., MUMBAI

In the result, the appeal filed by the revenue stands dismissed

Bench: Hon’Ble Shri Sandeep Gosain& Hon’Ble Shri Bijayananda Prusethdeputy Commissioner Of Vs. Sanghvi Dhanrupji Income Tax Central Circle Devaji & Co. 5(3), Mumbai 33, Mumba Devi Road, Room No. 426, 4Th Floor, Dagina Bazar, Kautilya Bhavan, Mumbai- 400002 Mumbai- 400051 Pan/Gir No. Aaqfs6338H (Applicant) (Respondent) Assessee By Shri M B Sanghvi Revenue By Ms. Kavitha Kaushik,Sr.Dr. Date Of Hearing 21.01.2026 Date Of Pronouncement 10.03.2026 आदेश / Order Per Sandeep Gosain, Jm: The Present Appeal Has Been Filed By The Revenue Challenging The Impugned Order Dated 23.12.2024 Passed U/S 250 Of The Income Tax Act, 1961 (‘The Act’), By The National Faceless Appeal Centre, Delhi (Nfac) For The Assessment Year 2014-15. The Revenue Has Raised The Following Grounds Of Appeal: 1. Ground I - Whether On The Facts & The Circumstances Of The Case & In Law, The Cit(A) Erred In Deleting/Allowing Relief In Respect Of The Addition Of Rs.

other details have been specified in the cash purchase bills. Hence, AO held that purchases of old ornaments in cash are used as colourable device to inflate the stock and to justify introduction of unexplained money during demonetization. The AO has also mentioned that the assessee has sold gold bullion

ZARAH RAFIQUE MALIK,MUMBAI vs. ITO (INT TAX) WARD-3(2)(1), MUMBAI

Bench: Justice (Retd.) C V Bhadang, Hon’Ble & Shri Vikram Singh Yadav, Hon’Blezarah Rafique Malik Income Tax Officer, (Int.Tax) B/1703, Vivarea Condominium, Ward- 3(2)(1), Mumbai Vs. Sane Guruji Marg, Jacob Circle, Mahalaxmi East Mumbai – 400 011 Pan : Adcpm8960G (Appellant) (Respondent)

under the Income Tax Act. 11 ITA 5159/Mum/2025 Zarah Rafique Malik Panel notes that the Applicant's attempt to claim these expenses is a colourable device to circumvent this settled legal position. The company, being the actual beneficiary of the IPO (as it raises capital), cannot pass on the deduction

ITO 19.3.1, MUMBAI vs. VARUN JAISINGH ASHER, MUMBAI

In the result, the appeal of the revenue bearing ITA No

Bench: Shri. Girish Agrawalito -19(3)(1), Mumbai Varun Jaisingh Asher Room No.405, 4Th Floor, Piramal Arkade Rise, 17Th Floor, 31-A, Vs. Chambers, Lower Parel Mumbai Carmichael Road, Cumballa Hills, 400012 Mumbai 400026 "थायीलेखासं./जीआइआरसं./Pan/Gir No: Aiapa1791N (Appellant) (Respondent)

formal agreement and therefore tenancy agreement was registered on 05/08/2014. The Ld. AO considered the tenancy agreement as a sham matter of arrangement a colourable device which does not really bestow any legitimate and genuine tenancy rights without appreciating the fact the tenancy agreement was between assessee ... Departmental Representative (Ld. DR), argued and stated that the agreement and all the documents related to the proof of tenancy is nothing, but a colourable device for avoidence of the tax. Ld. DR stands in favour of the impugned order of Ld. AO 4. The Learned Authorised Representative

DCIT, CENTRAL CIRCLE 7(1), MUMBAI vs. BALAJI BULLIONS AND COMMODITIES INDIA PRIVATE LIMITED, MUMBAI

The appeal of the assessee is dismissed whereas the\nappeal of the Revenue is allowed for statistical purposes

that the\ntransactions pertaining to sale and purchases made by M/s Balaji Bullions & Commodities\n(1) Private Limited are bogus transactions used as a colourable device.\nThe entity M/s Balaji Bullions & Commodities (1) Private Limited is not engaged in genuine\nbusiness activity and has no creditworthiness at all. Hence ... assessee, it is amply clear that the\ntransactions pertaining to sale and purchase made by the assessee are bogus transactions\nused as a colourable device. As from the above, it is crystal clear that no actual business\nactivity is being done by the assessee and this party is actively involved

BALAJI BULLIONS AND COMMODITIES INDIA PRIVATE LIMITED,MUMBAI vs. DCIT CENTRAL CIRCLE 7(1), MUMBAI

The appeal of the Revenue is allowed for statistical purposes

Bench: Shri Om Prakash Kant () & Ms. Kavitha Rajagopal () Assessment Year: 2017-18

made by M/s Balaji Bullions & Commodities ale and purchases made by M/s Balaji Bullions & Commodities (1) Private Limited are bogus transactions used as a colourable device. (1) Private Limited are bogus transactions used as a colourable device. (1) Private Limited are bogus transactions used as a colourable device. The entity ... purchase made by the assessee are bogus transactions transactions pertaining to sale and purchase made by the assessee are bogus transactions used as a colourable device. As from the above, it is crystal clear that no actual business used as a colourable device. As from the above, it is crystal

ASHOK LALCHAND JAIN,MUMBAI vs. ITO 12(1)(1), MUMBAI

In the result, the appeal of the assessee is allowed

Bench: Shri Narender Kumar Choudhry & Shri Jagadishassessment Year: 2020-21

dues. Such sales are normally distress sales where the price is discovered through competitive bidding under regulatory supervision. In such circumstances, the possibility of colourable device or deliberate undervaluation between private parties which section 56(2)(x) seeks to address is significantly diluted. Further, section 35 of the SARFAESI