For some bogus purchases Entire purchases can’t be added to income

Sonal Parekh Vs ITO (ITAT Ahmedabad) The issue under consideration is whether the addition under section 69C for Bogus purchases are justified in law? In the give case, A.O. has received the information from VAT department that the assessee is dealing with Hawala dealers for some purchases and hence he has re-open the assessment. AO on the basis of information emanated from investigation wing, treated entire purchases claimed by the assessee as bogus and made addition under section 69C, however, without disputing corresponding sales. ITAT states that, the purchases and sales have not been disp...