Addition of Bogus Purchases Without Evidence Unsustainable: Bombay HC

Ashok Kumar Rungta Vs ITO (Bombay High Court) Bombay High Court held that addition of 10% of allegedly bogus purchases without any cogent or convincing evidence is not sustainable in law. Accordingly, impugned order set aside and appeal disposed of in favour of the assessee. Facts- Present appeals are filed against an Order and Judgment of the Income Tax Appellate Tribunal upholding an Order dated April 27, 2015 passed by the Commissioner of Income Tax – Appeal, disallowing 10% of certain suspect purchases on the premise that they are bogus purchases. Originally, AO had passed an order d...