“bogus purchases”

DisallowancesSection 69CSection 69C9,532 judgments

The decision most relied on for bogus purchases is CIT v. Simit P. Sheth (356 ITR 451), cited in 1,465 judgments on BharatTax.

Leading authorities on bogus purchases

CIT v. Simit P. Sheth

356 ITR 451 · 2013 · High Court

1,465

citing judgments

Additions for alleged bogus purchases should be restricted to the profit element, not the entire turnover. The profit element is often estimated at 12.5% of the purported bogus purchases.

CIT v. Bholanath Poly Fab. Pvt. Ltd.

355 ITR 290 · 2013 · High Court

712

citing judgments

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.

Sanjay Oilcake Industries v. CIT

316 ITR 274 · 2009 · High Court

460

citing judgments

In cases of alleged bogus or unverifiable purchases, rather than disallowing the entire purchase value, a reasonable profit element or a proportionate percentage of the purchases should be added back to the assessee's income.

Vijay Proteins Ltd. v. Asst. CIT

58 ITD 428 · 1996 · ITAT

430

citing judgments

Where purchases are found to be non-genuine or fictitious, a reasonable disallowance of 25% of such purchases or the peak credit, whichever is higher, can be made. This is applied to address unexplained expenditure under Section 69C when actual goods are likely procured from the grey market.

CIT v. Odeon Builders Pvt. ltd.

418 ITR 315 · 2019 · Supreme Court

408

citing judgments

Income tax additions cannot be sustained merely on the basis of uncorroborated statements or allegations. The Revenue must bring on record sufficient material and allow the assessee to produce evidence to prove such additions.

CIT v. Nikunj Exim Enterprises Pvt. Ltd.

372 ITR 619 · 2015 · High Court

391

citing judgments

Transactions defying human probability cannot be applied to isolated purchases if sales are accepted as genuine, and purchases cannot be disallowed without considering the entire transaction and documentary evidence. Failure to produce parties in an assessment proceeding may not be fatal to the assessee.

Nikunj Eximp Enterprises v. CIT

216 Taxmann 171 · 2013 · High Court

325

citing judgments

Purchases may be treated as genuine even if the purchase parties are untraceable or not available for verification, as long as there is no specific evidence from the parties themselves denying the transactions or proving them to be bogus.

CIT v. Shyam R. Pawar

54 Taxmann.com 108 · 2015 · High Court

279

citing judgments

Transactions involving the purchase and sale of shares cannot be considered bogus where the assessee provides documentary evidence, unless the revenue brings substantial evidence on record to reject such proof. This principle is consistently applied in cases concerning claims of bogus long-term capital gains arising from penny stock transactions.

Judgments citing bogus purchases

M. Patwari Traders P. Ltd, Mumbai vs. ITO 1(2)(3), Mumbai

ITA 6037/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Shamim Yahya (Am) & Shri Amarjit Singh (Jm)

Section 271(1)(c)

amounting to Rs. 9,12,542/-. 3. Brief facts of the case are that for the disallowance of bogus purchase in the case of the assessee gross profit was estimated at 12% and thereafter gross profit already declared @ 8.94% was deducted for the disallowance at Rs. 29,53,210/-. Penalty ... Jurisdictional High Court in the case of Nikunj Eximp Enterprises (in Write Petition No. 2860, order dated 18.6.2014) has expounded that no disallowance for bogus purchases should be done. Hence, mere non-response from the suppliers cannot be lead to levy of penalty

Adinath Metals, Mumbai vs. Income Tax Officer-31(1)(1), Mumbai

In the result, assessee's appeals are partly allowed

ITA 5998/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Shamim Yahya (Am) & Shri Amarjit Singh (Jm)

appeals by the assessee wherein the assessee is aggrieved that the learned CIT-A has erred in sustaining 12.5% disallowance on account of bogus purchases vide common order dated 28.6.2018 for A.Ys. 2009-10, 2011- 12 & 2013-14. 2. Brief facts of the case are that assessee in the business ... ferrous metal. The Assessment in this case was reopened upon receipt of information from the sales tax Department that assessee has made bogus purchases. The assessee submitted the purchase vouchers and the payments were made through banking channel. However the suppliers were not produced before the assessing officer. Sales

Rational Art & Press P. Ltd, Mumbai vs. DCIT Cen Cir 8(1), Mumbai

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

ITA 5897/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Saktijit Dey & Shri G. Manjunatharational Art & Press Pvt.Ltd. Vs. Dcit, Central Circle-8(1) 21St Floor, Nirmal Building Room No.656, 6Th Floor Nariman Point Aaykar Bhawan, M.K.Road Mumbai-400 021 Mumbai-400 020

Section 133(6)Section 143(3)Section 147

assessee has raised the following grounds of appeal:- 1. The learned CIT(A) erred in confirming order of A.O. disallowing alleged bogus purchases of Rs. 5,07,507/- made from M/s. Jigna Enterprises without appreciating that the purchases were genuine and consideration was paid through banking channels and Assessee furnished ... disallowance of purchases of Rs. 5,07,507/- may be deleted, 2. The learned CIT(A) erred in confirming order of A.O. disallowing alleged bogus purchases of Rs. 5,07,507/- made from M/s. Jigna 2 Rational Art & Press Pvt.Ltd. Enterprises without appreciating the learned A.O. has not furnished copy

Dsm Infocom Pvt. Ltd., Mumbai vs. DCIT - Circle-4(1)(2), Mumbai

In the result, appeal filed by the assessee is allowed

ITA 5807/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Saktijit Dey & Shri G. Manjunathadsm Infocom Pvt.Ltd. Vs. Dcit, Circle-4(1)(2) Ground Floor Mumbai Shailesh Building Link Road, Santacruz (W) Mumbai-400 054 Pan/Gir No.Aaccd0460G (Appellant) .. Respondent)

Section 143(3)Section 271(1)Section 271(1)(c)

wherein a penalty of Rs. 152,622/- had been levied on (he 2 DSM Infocom Pvt.Ltd. addition made on account of bogus purchases of Rs. 3,74,191/-, on the basis of information received from the Sales Tax Department and statement of the suppliers before the Sales Tax authorities which ... income shall not be levied. In response, the assessee submitted that although, the Ld. AO has made additions towards 12.5% profit on alleged bogus purchases, but, fact remains that the assessee has filed complete details in order to prove genuineness of purchases. Therefore, merely for the reasons that there

ITO - 27(1)(3), Mumbai vs. Cheruvellil Kurian Ninan, Mumbai

In the result this appeal filed by the revenue stands dismissed

ITA 4967/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Shamim Yahya (Am) & Shri Amarjit Singh (Jm)

aggrieved that the learned CIT-A has deleted the addition of Rs. 8,41,303/- by sustaining only 12.5 % disallowance on account of bogus purchases, vide order dated 3.5.2018 pertaining to A.Y. 2009-10. 2. The assessee in this case is engaged into engineering works. The assessment was reopened upon ... department that assessee has made purchases from bogus dealers. The assessing officer in this case has made hundred percent addition on account of bogus purchase amounting to Rs. 10,00,425/-. 3. Upon assessee's appeal learned CIT-A has noted that the sales has not been doubted. Accordingly placing

ITO - 27(1)(1), Navi Mumbai vs. Anjam Chanalal Goel, Mumbai

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

ITA 4966/MUM/2018[2011-12]Status: DisposedITAT Mumbai02 Dec 2019AY 2011-12

Bench: Shri Shamim Yahya (Am) & Shri Amarjit Singh (Jm)

aggrieved that the learned CIT-A has deleted the addition of Rs. 17,45,185/-by sustaining only 12.5 % disallowance on account of bogus purchases, vide order dated 24.5.2018 pertaining to A.Y. 2011-12. 2. The assessee in this case is engaged into dealing in sanitary wares and tiles ... information from sales tax department that assessee has made purchases from bogus dealers. The assessing Officer in this case has made on account of bogus purchase amounting to Rs. 22,50,796/-. 3. Upon assessee's appeal learned CIT-A has noted that the sale has not been doubted. Accordingly

ITO 27(1)(1), Mumbai vs. Ajay Chandulal Shah, Mumbai

In the result this appeal filed by the revenue stands dismissed

ITA 4963/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Shamim Yahya (Am) & Shri Amarjit Singh (Jm)

aggrieved that the learned CIT-A has deleted the addition of Rs. 4,04,315/- by sustaining only 13.47% disallowance on account of bogus purchases, vide order dated pertaining to AY 2009-10. 2. The assessee in this case is engaged into wholesale dealing in carbouys and drums. The assessment ... sales tax department that assessee has made purchases from bogus dealers. The assessing officer in this case has made 100% addition on account of bogus purchase amounting to Rs. 4,67,253/-. 3. Up on assessee's appeal learned CIT-A has noted that the sale has not been doubted

Akshar Enterprises (Prop.Haresh M Valia), Dombivali vs. ITO WD 3(4), Thane

In the result, this appeal by the assessee stands dismissed

ITA 4905/MUM/2018[2011-12]Status: DisposedITAT Mumbai02 Dec 2019AY 2011-12

Bench: Shri Shamim Yahya (Am) & Shri Amarjit Singh (Jm)

Section 145(3)Section 44A

case are that the assessee was dealing in electrical goods. Upon information from the sales tax department that the assessee has engaged in obtaining bogus purchases from two parties amounting to Rs. 2,79,547/-, assessment was reopened. In the reassessment, the Assessing Officer noted that the assessee was given ... Assessing Officer noted that the expenses were not supported by documentary evidence. The Assessing Officer proceeded to disallow bogus purchases amounting to Rs. 2,79,547/- and 20% expenditure amounting to Rs. 31,61,459/-. 4. Upon assessee’s appeal learned CIT(A) upheld the rejection of books of account

Rajesh B. Jain, Mumbai vs. Income Tax Officer-19(3)1), Mumbai

In the result, the appeal stands partly allowed

ITA 4753/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Shamim Yahya, Am & Shri Amarjit Singh, Jm Shri Rajesh B. Jain Income Tax Officer-19(3)(1), 104, 1St Floor, Astral Mansion, Mumbai Opp. Godrej, K. K. Marg, Vs. 7Th Rasta Jacob Circle Byculla, Mumbai-400 011 Pan/Gir No. Aaepj 8093 L (Appellant) : (Respondent)

For Appellant: Shri Sashi TulsiyanFor Respondent: Shri Chaitanya Anjaria

appeal by the assessee wherein the assessee is aggrieved that the learned C1T-A has erred in sustaining 12.5% disallowance on account of bogus purchases, vide order dated 21.05.2018 pertaining to assessment year 2009-10.. 2. Brief facts of the case are that the assessee in this case ... ferrous metals. 3. The Assessment in this case was reopened upon receipt of information from the sales tax Department that assessee has made bogus purchases. The assessee submitted the purchase vouchers and the payments were made through banking channel. However the suppliers were not produced before the assessing officer. Sales

Shri Rohinton Cyrus Malesra, Mumbai vs. Income Tax Officer 19(3)(1), Mumbai

In the result, the appeal stands partly allowed

ITA 4752/MUM/2018[2011-12 (F.Y-2010-11]Status: DisposedITAT Mumbai02 Dec 2019

Bench: Shri Shamim Yahya, Am & Shri Amarjit Singh, Jm Shri Rohinton Cyrus Malesra Income Tax Officer – 19(3)(1), G-1/11, 5Th Floor, Matru Mandir, Tardeo, Shapur Baug, V. P. Road, Vs. Mumbai-400 037 Near Congress House, Mumbai-400 004 Pan/Gir No. Aagpm 5502 K (Appellant) : (Respondent)

For Appellant: Shri Anil GalaFor Respondent: Shri Chaitanya Anjaria

appeal by the assessee wherein the assessee is aggrieved that the learned C1T-A has erred in sustaining 100% disallowance on account of bogus purchases, vide order dated 12.07.2018 pertaining to assessment year 2010-11. 2. Brief facts of the case are that the assessee in this case is engaged ... work. 3. The Assessment in this case was reopened upon receipt of information from the sales tax Department that assessee has made bogus purchases. The assessee submitted the purchase vouchers and the payments were made through banking channel. However the suppliers were not produced before the assessing officer. Sales

Mr.Rajnikant V. Doshi, Mumbai vs. ITO Ward 17(3)(1), Mumbai

In the result, the appeal stands partly allowed

ITA 4747/MUM/2018[2010-11]Status: DisposedITAT Mumbai02 Dec 2019AY 2010-11

Bench: Shri Shamim Yahya, Am & Shri Amarjit Singh, Jm Shri Rajnikant V. Doshi Ito Ward 17(3)(1), 1St Floor, Aayakar Bhavan, A-103, Raj Cresent Building, Vs. Royal Complex, Eksar Road, Churchgate, Mumbai-400 020 Borivali (W), Mumbai-400 092 Pan/Gir No. Aaepd 1214 D (Appellant) : (Respondent)

For Appellant: Shri Amit JhaveriFor Respondent: Shri Chaitanya Anjaria

appeal by the assessee wherein the assessee is aggrieved that the learned C1T-A has erred in sustaining 12.5% disallowance on account of bogus purchases, vide order dated 22.06.2018 pertaining to assessment year 2010-11. 2. Brief facts of the case are that the assessee in this case is engaged ... steel trading. 3. The Assessment in this case was reopened upon receipt of information from the sales tax Department that assessee has made bogus purchases. The assessee submitted the purchase vouchers and the payments were made through banking channel. However the suppliers were not produced before the assessing officer. Sales

M/S.Vishal Steel India, Mumbai vs. Income Tax Officer Ward 19(3)(5), Mumbai

In the result the appeal stands partly allowed

ITA 4745/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri Shamim Yahya (Am) & Shri Amarjit Singh (Jm)

appeal by the assessee wherein the assessee is aggrieved that the learned CIT-A has erred in sustaining 12.5% disallowance on account of bogus purchases, vide order dated 4.5.2018 pertaining to assessment year 2009-10. 2. Brief facts of the case are that assessee in this case is engaged ... ferrous metals. The Assessment in this case was reopened upon receipt of information from the sales tax Department that assessee has made bogus purchases. The assessee submitted the purchase vouchers and the payments were made through banking channel. However the suppliers were not produced before the assessing officer. Sales

ITO - 12 (1)(2), Mumbai vs. Anmol Toys Pvt. Ltd., Mumbai

The appeal stands dismissed

ITA 6263/MUM/2018[2010-11]Status: DisposedITAT Mumbai02 Dec 2019AY 2010-11

Bench: Hon’Ble Shri C.N. Prasad, Jm & Hon’Ble Shri Manoj Kumar Aggarwal, Am आयकरअपील सं./ I.T.A. No.6263/Mum/2018 (िनधा"रण वष" / Assessment Year: 2010-11) Income Tax Officer-13(1)(2) M/S. Anmol Toys Pvt.Ltd. Room No.146A,1St Floor, 117 Ab बनाम/ Aaykar Bhavan Govt. Industrial Estate Vs. M.K. Road, Mumbai-400 020. Charkop, Kandivali (W) Mumbai-400 647 "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aaaca-5068-R (अपीलाथ"/Appellant) (""थ" / Respondent) : Revenue By : Shri R. Bhoopathi – Ld. Dr Assessee By : Shri Manish J. Sheth-Ld.Ar सुनवाई की तारीख/ : 02/12/2019 Date Of Hearing घोषणा की तारीख / : 02/12/2019 Date Of Pronouncement आदेश / O R D E R

For Appellant: Shri Manish J. Sheth-Ld.ARFor Respondent: Shri R. Bhoopathi – Ld. DR

Section 133(6)Section 143(1)Section 143(2)Section 143(3)Section 148

Anmol Toys P.Ltd. Assessment Year :2010-11 of appeal that the sole issue that arises for our consideration is addition on account of alleged bogus purchases. 2. We have carefully heard the rival submissions, perused relevant material on record and deliberated on arguments advanced before us. 3.1 Facts on record ... r.w.s. 147 on 27/11/2017 wherein the income of the assessee was determined at Rs.14.67 Lacs after sole addition of alleged bogus purchases for Rs.3.20 Lacs as against returned income of Rs.11.46 Lacs filed by the assessee on 26/09/2010 which was processed u/s.143(1). 3.2 Pursuant to receipt of certain information

ITO - 17(1)(1), Mumbai vs. Ace International Corporation, Mumbai

The appeal stands dismissed

ITA 6258/MUM/2018[2011-12]Status: DisposedITAT Mumbai02 Dec 2019AY 2011-12

Bench: Hon’Ble Shri C.N. Prasad, Jm & Hon’Ble Shri Manoj Kumar Aggarwal, Am आयकरअपील सं./ I.T.A. No.6258/Mum/2018 (िनधा"रण वष" / Assessment Year: 2011-12) Income Tax Officer-17(1)(1) M/S. Ace International Corporation बनाम/ Room No.115, 1St Floor 101/C, Mittal Tower Aaykar Bhavan Nariman Point Vs. Mumbai. Mumbai-400 021. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aabfa-1975-D (अपीलाथ"/Appellant) (""थ" / Respondent) : Assessee By : None Revenue By : Shri R. Bhoopathi – Ld. Dr सुनवाई की तारीख/ : 02/12/2019 Date Of Hearing घोषणा की तारीख / : 02/12/2019 Date Of Pronouncement आदेश / O R D E R

For Appellant: NoneFor Respondent: Shri R. Bhoopathi – Ld. DR

Section 143(1)Section 143(2)Section 143(3)Section 148

dated 27/08/2018. It is evident from grounds of appeal that the sole issue that arises for our consideration is addition on account of alleged bogus purchases. 2 M/s. Ace International Corporation Assessment Year :2011-12 2. None has appeared for assessee and no valid adjournment application is on record. Left ... r.w.s. 147 on 29/12/2016 wherein the income of the assessee was determined at Rs.1.76 Lacs, inter-alia, after addition of alleged bogus purchases for Rs.0.66 Lacs as against returned income of Rs.0.28 Lacs e-filed by the assessee on 23/09/2011 which was processed u/s.143(1). 4.2 Pursuant to receipt

ITO 32 (3)(1), Mumbai vs. Ramrekha Shukla, Mumbai

The appeal stands dismissed

ITA 6257/MUM/2018[2010-11]Status: DisposedITAT Mumbai02 Dec 2019AY 2010-11

Bench: Hon’Ble Shri C.N. Prasad, Jm & Hon’Ble Shri Manoj Kumar Aggarwal, Am आयकरअपील सं./ I.T.A. No.6257/Mum/2018 (िनधा"रण वष" / Assessment Year: 2010-11) Income Tax Officer-32(3)(1) Shri Ramrekha Shukla Room No.107, C-11, 7/204, Ridhi Chs Ltd. बनाम/ Pratyakshkar Bhavan Sai Baba Nagar, Borivali (W) Vs. Bkc Bandra (E) Mumbai-400 092. Mumbai-400 051. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Aaups-0630-A (अपीलाथ"/Appellant) (""थ" / Respondent) : Revenue By : Shri R. Bhoopathi – Ld. Dr Assessee By : Shri Mahesh Saboo-Ld.Ar सुनवाई की तारीख/ : 02/12/2019 Date Of Hearing घोषणा की तारीख / : 02/12/2019 Date Of Pronouncement आदेश / O R D E R

For Appellant: Shri Mahesh Saboo-Ld.ARFor Respondent: Shri R. Bhoopathi – Ld. DR

Section 133(6)Section 143(1)Section 143(2)Section 143(3)Section 145(3)Section 148

Year :2010-11 is evident from grounds of appeal that the sole issue that arises for our consideration is addition on account of alleged bogus purchases. 2. We have carefully heard the rival submissions, perused relevant material on record and deliberated on arguments advanced before us. 3.1 Facts on record ... r.w.s. 147 on 31/06/2016 wherein the income of the assessee was determined at Rs.11.28 Lacs after sole addition of alleged bogus purchases for Rs.9.27 Lacs as against returned income of Rs.2.00 Lacs filed by the assessee on 30/09/2010 which was processed u/s.143(1). 3.2 Pursuant to receipt of certain information

ITO, Ward 3 (2), Kalyan vs. Paras Ramniklal Shah, Mumbai

In the result, appeals filed by the Revenue are dismissed

ITA 6255/MUM/2018[2009-10]Status: DisposedITAT Mumbai02 Dec 2019AY 2009-10

Bench: Shri C.N. Prasad, Hon'Ble & Shri Manoj Kumar Aggarwal, Hon'Ble

For Appellant: Shri Bhadresh DoshiFor Respondent: Shri R. Bhoopathi

Section 143(1)Section 147

genuineness of the transaction. In number of other cases, as discussed above, it is noticed that the disallowance ranging from 25% to 100% of bogus purchases have been held as reasonable, based on the facts of those cases. In view of the foregoing discussion, the percentage of disallowance of bogus ... same cannot be generalized in every case. 6.9 From the above discussion, it is seen that the various courts have upheld the disallowances of bogus purchases, ranging from 25% to 100%, based on the facts of each case and nature of business. In the present case, it is seen that

ITO, Ward 3 (2), Kalyan vs. Paras Ramniklal Shah, Mumbai

In the result, appeals filed by the Revenue are dismissed

ITA 6254/MUM/2018[2010-11]Status: DisposedITAT Mumbai02 Dec 2019AY 2010-11

Bench: Shri C.N. Prasad, Hon'Ble & Shri Manoj Kumar Aggarwal, Hon'Ble

For Appellant: Shri Bhadresh DoshiFor Respondent: Shri R. Bhoopathi

Section 143(1)Section 147

ITO -Ward - 3 (4), Kalyan vs. Valji R. Mange, Mumbai

In the result, appeal of the Revenue is dismissed

ITA 6253/MUM/2018[2010-11]Status: DisposedITAT Mumbai02 Dec 2019AY 2010-11

Bench: Shri C.N. Prasad, Hon'Ble & Shri Manoj Kumar Aggarwal, Hon'Bleincome Tax Officer, Ward -3(4) V. Shri Valji R. Mange 2Nd Floor, Rani Mansion Prop. Of M/S. Kamal Chem Industries A-304, Om Gopal Krishna Murbad Road Kelkar Cross Road Kalyan(W) - 421 301 Dombivli (E) – 421 201 Pan: Agepm4124B (Assessee) (Respondent) Assessee By : None

For Appellant: NoneFor Respondent: Shri R. Bhoopathi

Section 143(1)Section 147

give colour, does not sacrosanct/ establishes the genuineness of the transaction. In number of other cases, as discussed above, 25% to 100% disallowance of bogus purchases have been upheld, based on the facts of those cases. In view of the foregoing discussion, the percentage of disallowance of bogus purchases ... turnover, as per the provisions of section 44AF of the Act, may be estimated or disallowance to the extent of 25% of bogus purchases, whichever higher, maybe stay of demand. 6.12. The NP for AY 2010-11, @5% as per provision of section 44AF of the Act, is worked

Isaac Anthony Mendonca, Mumbai vs. ITO Ward 21(1)(5), Mumbai

In the result, both, the appeals of the assessee and Revenue are dismissed

ITA 1695/MUM/2019[2013-14]Status: DisposedITAT Mumbai29 Nov 2019AY 2013-14

Bench: Sri Mahavir Singh, Jm & Sri Waseem Ahmed, Am आयकर अपील सुं./ Ita No. 4198/Mum/2018 (यिर्ाारण वर्ा / Assessment Year 2013-14) The Income Tax Officer Shri Isaac Anthony Mendonca Ward-21(1)(5) Room No.603, 6Th Floor, Standard Room No.120, 1St Floor, Mill Workers Building, Opp. बनाम/ Piramal Chambers, Parel, Maratha Udyog Bhavan, Next To Vs. Mumbai-400 012 Siddhi Prabha, New Prabhadevi, Mumbai-400 025 (अपीलार्थी / Appellant) (प्रत्यर्थी/ Respondent) स्र्थायी लेखा सुं./Pan No. Ahqpm7709M आयकर अपील सुं./ Ita No. 1695/Mum/2019 (यिर्ाारण वर्ा / Assessment Year 2013-14) Shri Isaac Anthony Mendonca The Income Tax Officer Room No.603, 6Th Floor, Ward-21(1)(5) Standard Mill Workers Building, Room No.120, 1St Floor, बनाम/ Opp. Maratha Udyog Bhavan, Piramal Chambers, Parel, Vs. Next To Siddhi Prabha, New Mumbai-400 012 Prabhadevi, Mumbai-400 025 (अपीलार्थी / Appellant) (प्रत्यर्थी/ Respondent) अपीलार्थी की ओर े / Appellant By : Shri Kumar Padampani Bora, Dr प्रत्यर्थी की ओर े / Respondent By : Shri Abhishek Jhunjhunwala, Ar ुिवाई की तारीख / Date Of Hearing: 14.11.2019 घोर्णा की तारीख / Date Of Pronouncement : 29.11.2019

For Appellant: Shri Kumar Padampani Bora, DRFor Respondent: Shri Abhishek Jhunjhunwala, AR

Section 133(6)Section 143(3)

against the order of CIT(A) directing the AO to restrict the addition by estimating profit percentage at the rate of 6% on bogus purchases. 3. Briefly stated facts are that the assessee engaged in the business of trading in imitation diamond jewellery and related goods. The AO received information ... return income of the assessee. Aggrieved, assessee preferred the appeal before CIT(A), who restrict the disallowance at the rate of 6% of the bogus purchases by observing in Para 5 as under: - “5. ………………………………………….. Thus, respectfully following the judicial decisions cited supra, I hold that the disallowance of entire disputed

M/S.Intermetal Engineer (India) Private Limited, Mumbai vs. ACIT 12(2)(2), Mumbai

In the result, the appeal of the assessee is partly allowed

ITA 6576/MUM/2018[2010-11]Status: DisposedITAT Mumbai29 Nov 2019AY 2010-11

Bench: Sri Mahavir Singh, Jm & Sri Waseem Ahmed, Am आयकर अपील सुं./ Ita No. 6576/Mum/2018 (यिर्ाारण वर्ा / Assessment Year 2010-11) Intermetal Engineer (India) The Asst. Commissioner Of Private Limited Income Tax, 22, Noble Industrial Estate Circle 12(2)(2), Aayakar बनाम/ No.1, Navghar, Vasai (E), Bhavan, M.K. Road, Mumbai Vs. Thane-4012010 (अपीलार्थी / Appellant) (प्रत्यर्थी/ Respondent) स्र्थायी लेखा सुं./Pan No. Aaaci7320J अपीलार्थी की ओर े / Appellant By : Shri Haridas Bhatt, Ar प्रत्यर्थी की ओर े / Respondent By : Shri Kumar Padampani Bora, Dr ुिवाई की तारीख / Date Of Hearing: 14.11.2019 घोर्णा की तारीख / Date Of Pronouncement : 29.11.2019

For Appellant: Shri Haridas Bhatt, ARFor Respondent: Shri Kumar Padampani Bora, DR

Section 143(3)

this appeal of assessee is against the order of CIT(A) confirming the action of the AO by treating the whole amount as bogus purchases. 3. Briefly stated facts are that the assessee engaged in the business of Manufacturing of slide gate Systems and parts for steel plant ... facts of the case and argument of both the sides, that the CIT(A) has confirmed the addition by applying whole amount as bogus purchases. We noted from the facts of the case that the AO has not doubted the sales made by assessee out of these purchases alleged