9911796707
TMI Blog2025 (3) TMI 1087X X X X Extracts X X X X X X X X Extracts X X X X ..... as ledger copies of Goyal Trading Company and Sagar Enterprises and we observe that there is no cash deposits in any of the ledger accounts submitted by the assessee and also there is no cash deposits in any of the bank accounts submitted before us to the extent of Rs. 3 lakh each from both the parties. In the case of Goyal Trading Company, observe that there is a credit balance of Rs. 3 lakhs and at the same time observe that there was also a debit of Rs. 3 lakhs, which shows that it is a contra entry for dishonour of the cheque deposit by the assessee. Therefore, in absence of any cash deposits and all the transactions recorded in the bank account are only through cheques, therefore, no reason to sustain the addition. Decided in favour ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and on facts in upholding the total addition by the Ld, A.O of Rs. 31,02,845/- by treating the genuine purchases as Bogus Purchases. The Ld. A.O passed an Arbitrary Order by treating the ten percent of the purchases as the Income of the Income of the assessee. However, the Honorable Bombay High Court held in the case of PCIT Vs M/s Mohommad Haji Adam & Co. [ITA No. 1004 of 2016 that additions limited to the extent of bringing the G.P. rate on purchases at the same rate of other genuine purchases. 4. That the Hon'ble CIT(A) has erred in law and on facts in upholding the total addition of Rs. 6,00,000/- by the Ld. A.O on account of unexplained credit u/s 68 of the Act, and not considering the submission of assessee. 5. That the appellant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cheques and there is no cash deposit. He prayed that on one hand the Assessing Officer made the addition on the basis of bogus purchases and also making the similar addition on receipt of payment from the same parties and prayed that the above additions may be deleted. 4. On the other hand, Ld. DR objected to the submissions of the assessee and submitted that the purchases declared by the assessee is bogus and also the cash received from the same parties which are bogus transactions, therefore, he submitted that the additions made and sustained by the lower authorities are proper. 5. Considered the rival submissions and material placed on record, I observe that the Assessing Officer has treated the purchases declared by the assessee as b ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
