Unaccounted Sales’ Net Profit Rate Must Be Justifiable, Not Adhoc: ITAT Rajkot

ACIT Vs Conor Granito P. Ltd. (ITAT Rajkot) In a pivotal judgment by the Income Tax Appellate Tribunal (ITAT) Rajkot, dated 12th January 2024, the case between the Assistant Commissioner of Income Tax (ACIT) Vs Conor Granito P. Ltd. has set a precedent regarding the determination of net profit rates on unaccounted sales. The Revenue’s appeal against the Commissioner of Income Tax (Appeals)-11, Rajkot’s order was dismissed, and the Cross Objection (CO) filed by Conor Granito P. Ltd. was allowed, marking a significant decision in the realm of income tax law related to undisclosed sales. ...