No percentage Business: 100% of the Bogus purchase disallowed by Bombay HC
Here is Another judgement of the Bombay High Court upholding 100% disallowance of bogus purchases. The HC has held that if the purchases were bogus then the whole of the purchases should have been added.
In this case, the CIT(A) had granted substantial relief by confirming only 1% of the bogus purchases and the ITAT increased disallowance to 3% of peak of the purchases. The High Court held that the CIT(A) was too casual in his approach and the justification given by ITAT is perverse and erroneous.
The case details is as under:
Name of the case law: PCIT v. Drisha Impex Pvt. Ltd
Appeal No.: ITA No.1240 OF 2018 with ITA No. 2087 of 2018
Date of pronouncement: 7 April 2025
The Copy Of the order is as under:
