Estimated addition without pointing out specific defect in audited books unjustified

Priyamda Media & Infotainment Private Limited Vs DCIT (ITAT Delhi) ITAT Delhi held that without pointing out any specific defect in the audited books of accounts, AO cannot and should not make any estimated addition. Accordingly, such estimated addition deleted. Facts- The assessee is engaged in the business of News Network, broadcasting and telecasting. The return was selected for scrutiny and assessment. Notably, where the parties have confirmed the lesser amount the AO made the addition u/s. 41 of the Act. Further, AO found that the assessee has made payment to contractors on which tax ...