Books of Accounts Cannot Be Rejected for Suspicion or Low Profit Rate: ITAT Ahmedabad

Advertisement Pankaj Jhumarmal Bothra Vs ITO (ITAT Ahmedabad) The Income Tax Appellate Tribunal (ITAT) allowed all four appeals filed by the assessee, holding that the Assessing Officer (AO) was not justified in treating credits appearing in the assessee’s personal HDFC savings bank account as undisclosed business turnover or in rejecting the books of account under Section 145(3) of the Income-tax Act. The assessee, an individual carrying on business through two proprietary concerns, had declared a turnover of ₹9.61 crore and filed a return showing income of ₹9.50 lakh. During scrutin...