Bogus Purchase Theory Rejected; Section 69C Section 68 Additions Deleted in Full

Gargi Overseas Pvt. Ltd Vs ITO (ITAT Delhi) The Delhi Bench of the ITAT partly allowed the appeal of Gargi Overseas Pvt. Ltd. for AY 2017-18 and deleted substantial additions made under sections 69C and 68 of the Income-tax Act. The Tribunal held that purchases aggregating to ₹27.06 crore could not be treated as unexplained expenditure under section 69C, since the transactions were fully recorded in the books, supported by purchase invoices, stock registers, quantitative tally and payments were made through regular banking channels out of disclosed sources. The Revenue had not doubted the so...