Income Estimation Without Rejecting Books of Account Unsustainable: ITAT Kolkata

Advertisement DCIT Vs S. H. Mumtazuddin Times Pvt. Ltd. (ITAT Kolkata) The ITAT Kolkata considered the Revenue’s appeal against the order of the CIT(A), which had reduced an addition made by the Assessing Officer (AO) from ₹3,41,61,192 to ₹64,05,223 by estimating the assessee’s net profit at 1.50% of turnover. The Revenue also challenged the admission of additional evidence under Rule 46A of the Income-tax Rules, 1962. The assessee filed an application under Rule 27 of the ITAT Rules, 1963, contending that even the reduced addition was unsustainable since the AO had estimated income...