Disallowance of entire bogus purchase unjustified as corresponding sale of finished product taxed

Accra Pac(India) Pvt. Ltd Vs DCIT (ITAT Ahmedabad) ITAT Ahmedabad held that only certain percentage of alleged bogus purchases should be disallowed. Disallowance of entire alleged bogus purchase unjustified when corresponding sale of finished product has been subjected to tax. Facts- The assessee is a manufacturer of perfumes and other beauty products. During the year under consideration, the assessee purchased chemicals amounting to ₹ 77,12,502/- from M/s Virat Enterprises. During the course of assessment, the AO observed that the assessee has not furnished PAN number of the party from whom...