Mumbai ITAT Quashes Section 263 Revision: AO’s 25% Bogus Purchase Addition Held to Be a Possible View

Lavesh Agarwal Vs PCIT (ITAT Mumbai) Mumbai ITAT Quashes Section 263 Revision: AO’s 25% Bogus Purchase Addition Held to Be a Possible View The Mumbai ITAT quashed the revisionary order passed under Section 263, holding that where the Assessing Officer had conducted detailed enquiries and adopted a possible view by estimating profit at 25% of alleged bogus purchases, the PCIT could not invoke revision merely because he preferred 100% disallowance. The assessee, engaged in the scrap trading business, had disclosed purchases of about ₹168.85 crore, out of which purchases of ₹139.10 crore we...