2021 (9) TMI 761

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e appeals in ITA Nos.1254/Mum/2020 & 1258/Mum/2020 for A.Yrs.2009-10 & 2011-12 arise out of the order by the ld. Commissioner of Income Tax (Appeals)-18, Mumbai in appeal No.CIT(A)-18/IT-10102/DCIT-11(2)(2)/18-19 dated 14/01/2020 (ld. CIT(A) in short) in the matter of imposition of penalty u/s.271(1)(c) of the Income Tax Act, 1961 (hereinafter referred to as Act). Identical issues are involved in .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... was framed u/s.143(3) r.w.s. 147 of the Act on 23/02/2015 determining total income of Rs. 5,38,92,820/- wherein disallowance on account of bogus purchases of Rs. 1,06,29,126/- was made in respect of purchases made by the assessee from M/s. Harshil Ferromet Pvt. Ltd., M/s. Rajkamal Steel, M/s. Anand Impex and M/s. Jindutt Corporation. The ld. AO in the original assessment made disallowance of 100% .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... e addition towards bogus purchases has been made only on estimated basis. Hence, no penalty u/s.271(1)(c) on the same would survive in the eyes of law. Moreover, we find that for the A.Y.2009-10, the gross profit shown by the assessee on total transactions is 29.70% which is much more than 12.5% profit estimated by the Tribunal in the quantum proceedings. We find that the Tribunal has directed the .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X