Addition for unverified creditors under Section 41(1) not automatic: ITAT Kolkata

Utpal Sarkar Vs DCIT (ITAT Kolkata)

SEO Title: ITAT Kolkata Ruling: Utpal Sarkar vs. DCIT on Sundry Creditors

Summary: In the case of Utpal Sarkar vs. DCIT, the assessee filed a belated return for AY 2013-14, which was selected for scrutiny due to low reported income despite substantial commission receipts. The assessment was completed ex parte under Section 144, with an addition of ₹49,86,306/- treating sundry creditors from two proprietary concerns—Sarada Trading (₹5,87,924/-) and Sarada Electronics (₹43,98,382/-)—as bog

Please become a Premium member. If you are already a Premium member, login here to access the full content.