Penalty Deleted on Estimated Bogus Purchases by ITAT Surat

Santosh Singh Hukam Singh Karnawat Vs ITO (ITAT Surat) Penalty on Estimated Bogus Purchases Deleted – ITAT Surat Follows Consistent Jurisprudence- When Purchases Are Bogus But Profit Is Estimated — Penalty Fails in Law Assessee, engaged in diamond trading, was alleged to have made bogus purchases of ₹1,11,61,150 from Euro Diam & Little Diam following search findings in the Bhanwarlal Jain accommodation-entry group. AO rejected Assessee’s evidences & treated the entire purchases as bogus, levying penalty u/s 271(1)(c) for concealment. CIT(A) upheld the penalty but restricte...