Bogus Purchases Partly Disallowed Due to Accepted Sales

SCK Infratech Pvt. Ltd Vs DCIT (ITAT Delhi) Bogus Purchases in Construction Cases: ITAT Restricts Addition to 6% on Estimated Basis The Delhi Bench of the ITAT partly allowed the appeal of SCK Infratech Pvt. Ltd. (AY 2020-21) by substantially reducing the addition made on account of alleged bogus purchases of ₹13.78 crore from the Sanjay Jain & Mehta Group. While the Assessing Officer and CIT(A) had treated the entire purchases as unexplained under section 69C, the Tribunal noted that the assessee was engaged in the civil construction business, where sourcing from unregistered or accommo...