It was ruled that the Assessing Officer’s own finding of circular trading negates the application of bogus purchase jurisprudence. In the absence of evidence of sham transactions, estimated profit additions cannot survive.
The issue was rejection of trust registration as non-maintainable without hearing. The Tribunal ruled that due opportunity must be granted and remanded the matter for fresh consideration.
The issue was an appellate order passed with facts, year, and income of another assessee. The Tribunal held the order void and directed a fresh decision in the correct case.
The issue was whether a penalty can survive when the notice does not specify the exact charge. The Tribunal held that a vague notice vitiates the entire penalty proceedings, even where AMT liability exists.
The issue was whether an ex parte appellate order could stand without proper hearing. The Tribunal held that lack of opportunity vitiated the order and remanded the case for fresh adjudication.
The Tribunal examined whether cost of improvement can be denied solely due to cash payments. It ruled that genuine documentary evidence is sufficient, reducing the section 50C addition substantially.
The issue was whether entire cash deposits and unsecured loans could be taxed as unexplained income. The Tribunal held that only the embedded profit is taxable and restricted the addition to 10%.
The Tribunal held that the entire political donation could not be treated as bogus in the absence of incriminating evidence. To balance equities, only 10% of the alleged on-money was directed to be taxed on an estimated basis.
The Tribunal observed serious procedural lapses, including reliance on an unsigned third-party ledger and denial of cross-examination. To balance equities, only an estimated profit portion was brought to tax.
Despite deficiencies in documentation, agricultural activity and landholding were undisputed. The Tribunal granted partial relief while sustaining a modest addition. The decision highlights a balanced approach where activity is proven but evidence is imperfect.
