Addition on account of inflation of purchases - suppliers were ...

CIT(A) Deletes Inflation Addition u/s 153C; AO's Claims Lacked Evidence of Inflated Purchases by Assessee.

October 18, 2021

Case Laws Income Tax AT

Addition on account of inflation of purchases - suppliers were not maintaining the stock register and their books of accounts were rejected at the time of assessment under section 153C - The AO simply made the addition on ad hoc basis without relying upon any admissible evidence of inflation of purchases by the assessee. The addition was made without any basis and on ad hoc basis only. CIT(A) has rightly deleted the addition. - AT

View Source

← Previous Next →

Addition on account of inflation of purchases - suppliers were ...

CIT(A) Deletes Inflation Addition u/s 153C; AO's Claims Lacked Evidence of Inflated Purchases by Assessee.

October 18, 2021

Case Laws Income Tax AT

You may also like:

CIT(A) determined profit at 5.47% on total purchases. Assessee produced sufficient evidence regarding purchases, movement of goods, GST payment on transportation,...

Assessee engaged in business of commission agent (Aadatia) for agricultural products. AO made addition u/s 68 treating entire cash deposits in bank account as...

The Tribunal held that based on the financial parameters and risk profile, the assessee qualifies as a developer rather than merely a contractor u/s 80IA of the Income...

This is a summary of an order from the Income Tax Appellate Tribunal (ITAT) dealing with various additions and disallowances made by the Assessing Officer (AO) and...

Disallowance at 2% of total labour expenditure - CIT-A deleted the addition partly - The CIT(A) observed the claim of deleting entire disallowance is not acceptable in...

The assessment reopening u/s 147 read with Section 148 was found to be unsustainable due to the lack of independent application of mind by the Commissioner of Income Tax...

Addition on account of low GP - cause and effect relationship between the defect found by the AO and the addition made - AO rejected the book results as unreliable, but...

Protective addition made by Assessing Officer was not sustainable as substantive addition did not survive in concluded assessment proceedings of related party. CIT(A)...

The legal judgment addressed various issues. Firstly, regarding addition u/s 68 for unsecured loans, the AO questioned the creditworthiness of the loans. The CIT(A)...

Assessment u/s 153C - Profit estimation on money received for new construction and redevelopment projects - extrapolation of income for the search period. The assessee...

Additions u/s 68 - Any appellate authority cannot reject the evidences without any discussion or reason. The CIT (A) has not mentioned as to what more evidence were...

Addition in assessment u/s 153C - Addition u/s 69 - addition on basis of loose papers on which name of the appellant was mentioned along with some other parties - The...

Undisclosed receipts were added to gross profit by the AO, but the assessee claimed corresponding expenditure. CIT(A) deleted the addition, terming it double assessment....

ITAT dealt with the addition of notional interest on interest-free advances and disallowance of inflated import purchases. Assessee's advances to brokers were assigned...

The ITAT Jodhpur allowed admission of additional evidence u/r 46A of IT Rules by CIT(A) to delete addition on merits. The tribunal found merit in the evidence provided...

Quick Updates: