Disallowance of purchases - Even if the purchases are not ...

Non-genuine purchases shouldn't lead to full income addition; only the income portion should be taxed.

June 4, 2018

Case Laws Income Tax AT

Disallowance of purchases - Even if the purchases are not genuine or are bogus the entire addition to the income of the assessee is uncalled for and wrong. The purpose of the statute is only to tax the income of the assessee, which is only a fraction of the total purchases. - AT

View Source

← Previous Next →

Disallowance of purchases - Even if the purchases are not ...

Non-genuine purchases shouldn't lead to full income addition; only the income portion should be taxed.

June 4, 2018

Case Laws Income Tax AT

You may also like:

The CIT(A) partly allowed and restricted the addition on account of commission expenses at 0.25% as compared to 2% adopted by the Assessing Officer. The coordinate bench...

Estimation of income - Non genuine purchases of diamond - the first appellate authority himself has sustained addition @3% of the non genuine purchases under more or...

Estimation of income - Bogus purchases - Specific information received from the Sales Tax Department to indicate that certain purchases made by the assessee were...

Additions towards Bogus purchases - Estimation of profit - Purchases are to be removed, the corresponding sale is also required to be removed from the profit and loss...

Addition u/s. 69A - unexplained cash deposits in the bank account - The Tribunal found the explanation provided by the assessee regarding the sale consideration for real...

HC dismissed petition for complete stay of demand. Petitioner directed to pay 20% of Rs. 5.86 crore demand in 6 installments. Additions made by AO on account of...

Non-resident Indian donor gifted funds to assessee through cheques from NRE account, proving identity, creditworthiness, and genuineness. Assessing Officer made addition...

Income from undisclosed sources - addition of agricultural income - Assessment of agricultural income declared by the assessee for various assessment years was...

Addition of bogus purchases - There is no doubt that these parties are non-existent - purchase bills from these non-existent the/bogus parties cannot be taken as cogent...

Addition being unverified sundry debtors - Additions have been confirmed on account of bogus purchases - Any addition out of the sales made out of the aforesaid...

Addition of non-genuine and merely accommodation entries - There could be several reasons for arranging bogus accommodation entries towards bogus purchases, which could...

Demand of Motor Vehicle tax based on local price of similar vehicle - in a case where the figures shown in the purchase invoice are not in any manner manipulated, and is...

Estimation of income - Bogus purchases - The doubt, if any, is only with regard to the source of purchases. In such circumstances, the entire purchases cannot disallowed....

Levy of purchase tax payable - purchase of turmeric - Section 12 (2) of the Tamil Nadu Value Added Tax, 2006 - There was a paradigms shift from TNGST Act, 1959 when...

Unexplained purchase u/s 69C - alleged that purchase is not genuine and made from bogus biller/ accommodation entry provider - factual finding that no independent...

Quick Updates: