Entire addition towards bogus purchases not justifiable: Gujarat HC

PCIT Vs Rajesh Suresh Chopra (Gujarat High Court) Gujarat High Court held that entire addition towards bogus purchases not justifiable accordingly, addition at the rate of 6% of the bogus purchases is fair and reasonable. Accordingly, appeal of revenue dismissed. Facts- The return of the assessee was processed u/s. 143(1) of the Act. The Assessment order u/s. 143(3) read with Section 147 of the Act was passed after making addition of Rs.116,49,88,059/- on account of accommodation entry of purchases and Rs.2,32,99,761/- on account of unaccounted cash paid as commission of such accommodation ent...