Bogus purchase, addition limited to GP Rate

ITO Vs Satyanarayan Nathulal Gandhi Chowk (ITAT Raipur)

Held that the entire purchase amount of such bogus purchase cannot be added at best the addition limited to the extent of G. P. Rate on purchases at the same rate of the genuine purchase.

Facts- A survey operation u/s 133A was conducted in the business premises of Shri Sanjay Sharma, Hanuman Market, Raipur and Shri Kamlesh Keshrwani, Canvassing Agent, Raipur including the premises of the assessee on 15/03/2016.

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