October 2022
S. 68 – Identity, creditworthiness and genuineness of the transactions of purchases – Concurrent finding of the fact recorded by both the authorities- sales and purchase transactions, transfer pricing report at arm’s length and book results declared accepted – No substantial question of law arises for consideration
By Ajay R. Singh, Advocate
Pr. Commissioner of Income Tax vs. M/s Attire Designers Pvt. Ltd.
ITA 344 of 2022
Date of order: 20th September, 2022
A.Y.: 2014-15
Delhi High Court
[Arising from Delhi ITAT order dated
29th November, 2021 in ITA 5224/Del./2017]
S. 68 – Identity, creditworthiness and genuineness of the transactions of purchases – Concurrent finding of the fact recorded by both the authorities- sales and purchase transactions, transfer pricing report at arm’s length and book results declared accepted – No substantial question of law arises for consideration The Assessing Officer (AO) treated the credit balance of the associate parties relating to purchase made by the assessee as non-genuine.
Before the CIT(A) the assessee furnished the details of the payments of outstanding balance as on 31st March, 2014 along with confirmation for fair and proper disposal of the appeal. The assessee submitted details of parties as well as details of the transaction made with said parties during the Financial Year under consideration mentioned in transfer pricing report in Form 3CEB as well as transfer pricing study, which was submitted by assessee before the AO.
The CIT(A) noted that the said transactions of purchases were at arm’s length price and no adverse finding was brought on record by the AO who never doubted the purchases made by the assessee during the year which includes purchases made from su
