Unproved Purchases Require Full Disallowance Under Section 69C: Bombay HC

Advertisement PCIT Vs Ganesh Developers (Bombay High Court) The Bombay High Court decided an appeal filed by the Revenue for Assessment Year 2010–11, raising questions on whether the Income Tax Appellate Tribunal (ITAT) was justified in restricting additions on alleged bogus purchases to a profit margin instead of confirming full disallowance, particularly in light of Section 69C of the Income-tax Act, 1961, and earlier judicial precedents. The assessee, a real estate firm, filed a return declaring income of ₹61.05 lakh. Following scrutiny, the Assessing Officer (AO) passed an order und...