No Section 69C Addition When Cash Purchases Duly Recorded in Books: Delhi HC

PCIT Vs Param Dairy Ltd. (Delhi High Court)

This case involves an appeal by the Principal Commissioner of Income Tax (PCIT) against an order by the Income Tax Appellate Tribunal (ITAT), which had deleted an addition of ₹23,03,77,859 made by the Assessing Officer (AO) under Section 69C read with Section 40A(3) of the Income Tax Act, 1961. The AO had treated the “Tanki Milk” purchases made by Param Dairy Ltd., a milk and milk product manufacturer, as bogus due to large cash transactions with traders, not farmers, discovered during a search and seizure operation. The PCI

Please become a Premium member. If you are already a Premium member, login here to access the full content.