8% Income Estimate Based Solely on Bank Deposits Remanded: ITAT Bangalore

Advertisement Thaladammanahalli Muninarayanappa Ravikumar Vs ITO (ITAT Bangalore) Bengaluru ITAT Remands Ex Parte Assessment Based on Demonetisation Cash Deposits; AO Directed to Recompute Income on Proper Evidence The Bengaluru ITAT has set aside an ex parte assessment where the Assessing Officer estimated the assessee’s income at 8% under section 44AD solely on the basis of cash and non-cash deposits reflected in the bank account during the demonetisation period. The Tribunal held that such estimation, without examining supporting material regarding the actual business turnover and ...