ITAT Mumbai Upholds 4% Addition for Bogus Purchases

ACIT Vs Dhiraj Parbat Gothi (ITAT Mumbai) Income Tax Appellate Tribunal (ITAT), Mumbai Bench, on May 30, 2025, dismissed an appeal filed by the revenue against Dhiraj Parbat Gothi. The appeal challenged the decision of the Commissioner of Income Tax (Appeals) [CIT(A)], who had reduced an addition for alleged bogus purchases from 12.5% to 4% of the total purchase amount of Rs. 3,33,69,047. Background of the Case The case pertains to Assessment Year 2007-08. The assessee had filed his original return of income on October 25, 2007. The case was subsequently reopened based on information from the ...