Gujarat HC Dismisses Revenue’s appeal on bogus purchases of ₹5.19 crore

PCIT Vs Tejua Rohitkumar Kapadia (Gujarat High Court) In the case of PCIT vs. Tejua Rohitkumar Kapadia, the Gujarat High Court dismissed a tax appeal filed by the Revenue challenging an order of the Income Tax Appellate Tribunal (ITAT) dated January 16, 2017. The core issue revolved around the disallowance of purchase expenses amounting to ₹5.19 crore, which the Assessing Officer had labeled as bogus. The Revenue’s contention was based on the statement of Shri Kulwant Singh Yadav, who allegedly ran a shroff business and admitted to providing cash in return for cheques—identifying the...