<p>The Nagpur bench of the Bombay High Court has issued a notice to a sugar firm linked to BJP leader Nitin Gadkari-founded Purti Group on an Income-Tax Department appeal in a case of submission of alleged incorrect financial details.<br /><br /></p>.<p>A division bench comprising justices Bhushan Dharmadhikari and Atul Chandurkar on Thursday asked Purti Sakhar Karkhana to file a reply before September 5 on the appeal filed by Commissioner of Income-Tax Mayank Priyadarshi.<br /><br />Four more such appeals by the I-T Department against Purti are likely to come up for hearing next week.<br /><br />After the I-T Appellate Tribunal ruled in Purti’s favour in a tax evasion case, the Department filed five different appeals in the Nagpur Bench of the High Court.<br />The case related to the period between 2001 and 2007 when Purti is alleged to have submitted incorrect financial details following which it was asked to pay a penalty of Rs 4-5 crore.<br /><br />According to I-T counsel, Purti Sakhar had allegedly submitted incorrect particulars of income from 2001-02 to 2006-07. The Department conducted search operations in 2006 and issued notice to the firm on March 23, 2007.<br /><br />In its reply, Purti Group submitted the particulars of income. However, the department maintained those were not properly accounted for.<br /><br />After an enquiry, the department officials found that there was a variation of Rs 10.5 crore in income under the “capital work in progress” head. Purti admitted to it and agreed to pay the required tax.<br /><br />The department, however, levied a penalty to the tune of Rs 4 crore-5 crore on the company. Purti challenged the decision in the Commissioner of Income Tax (CIT) Appeals which ruled in its favour by deleting the penalty on May 28, 2010.<br /><br />The department went in appeal before I-T Appellate Tribunal (ITAT) but it was dismissed on December 12, 2012. The Income Tax authorities then approached the HC contending that Purti had furnished inaccurate particulars of income.</p>
<p>The Nagpur bench of the Bombay High Court has issued a notice to a sugar firm linked to BJP leader Nitin Gadkari-founded Purti Group on an Income-Tax Department appeal in a case of submission of alleged incorrect financial details.<br /><br /></p>.<p>A division bench comprising justices Bhushan Dharmadhikari and Atul Chandurkar on Thursday asked Purti Sakhar Karkhana to file a reply before September 5 on the appeal filed by Commissioner of Income-Tax Mayank Priyadarshi.<br /><br />Four more such appeals by the I-T Department against Purti are likely to come up for hearing next week.<br /><br />After the I-T Appellate Tribunal ruled in Purti’s favour in a tax evasion case, the Department filed five different appeals in the Nagpur Bench of the High Court.<br />The case related to the period between 2001 and 2007 when Purti is alleged to have submitted incorrect financial details following which it was asked to pay a penalty of Rs 4-5 crore.<br /><br />According to I-T counsel, Purti Sakhar had allegedly submitted incorrect particulars of income from 2001-02 to 2006-07. The Department conducted search operations in 2006 and issued notice to the firm on March 23, 2007.<br /><br />In its reply, Purti Group submitted the particulars of income. However, the department maintained those were not properly accounted for.<br /><br />After an enquiry, the department officials found that there was a variation of Rs 10.5 crore in income under the “capital work in progress” head. Purti admitted to it and agreed to pay the required tax.<br /><br />The department, however, levied a penalty to the tune of Rs 4 crore-5 crore on the company. Purti challenged the decision in the Commissioner of Income Tax (CIT) Appeals which ruled in its favour by deleting the penalty on May 28, 2010.<br /><br />The department went in appeal before I-T Appellate Tribunal (ITAT) but it was dismissed on December 12, 2012. The Income Tax authorities then approached the HC contending that Purti had furnished inaccurate particulars of income.</p>