Cash Addition Reduced: ITAT Cuts Ad Agency Profit Estimate from 8% to 5%

Media Adds India Private Limited Vs ITO (ITAT Chennai) Past History Prevails—Arbitrary 8% Profit Rate Reduced, Cash Addition Deleted – Thin-Margin Ad Agency Wins: ITAT Cuts Estimation from 8% to 5% Appeal was filed with a delay of 155 days, supported by affidavit. Tribunal accepted the explanation as bona fide & condoned the delay. On merits, dispute concerned estimation of business income. Assessee, engaged in advertisement services through newspapers & other media, disclosed contract receipts of ₹8.40 crore with net profit of ₹28.72 lakh (3.42%). Past results (AYs 2009-10...