Gross Profit Cannot Be Estimated Without Rejecting Books: Bangalore ITAT

Advertisement Mahabubsaheb Husensab Ronad Vs ITO (ITAT Bangalore) Bangalore ITAT: Gross Profit Cannot Be Estimated Merely by Averaging Earlier Years Without Rejecting Books of Account The ITAT Bangalore allowed the assessee’s appeal and set aside the orders of the lower authorities. The assessee, engaged in wholesale and retail trading of live chickens, was selected for scrutiny to examine large cash deposits during the demonetization period and a decrease in profitability despite higher turnover. The Assessing Officer accepted the explanation regarding cash deposits and found that the as...