GP Rate Refined to 11% in Search-Based Bogus Purchase Case

Surender Gupta Vs DCIT (ITAT Delhi) Bogus Purchases Case: Delhi ITAT Restricts Addition to 11% GP (Net of GST), Rejects Revenue’s Full Disallowance Plea Only Profit Element Taxable—ITAT Delhi Refines GP Rate & Grants GST Adjustment in Search Case Delhi ITAT ‘G’ Bench in Surender Gupta vs DCIT (ITA Nos.1670–1672/Del/2025 & 2871–2873/Del/2025; AYs 2018-19, 2019-20 & 2020-21; order dated 24-12-2025) partly allowed assessee’s appeals and dismissed Revenue’s cross-appeals, holding that in cases of accommodation-entry based bogus purchases, only the embedded profit elemen...