ITAT Directs 25% Profit Estimate on Milk Product Sales During Demonetisation

DCIT Vs Kannan Rajendra Babu (ITAT Chennai) Introduction: The Income Tax Appellate Tribunal (ITAT) Chennai recently ruled on an appeal involving the Revenue and Kannan Rajendra Babu, a proprietor of a milk business. The case pertained to the assessment year 2017-18 and revolved around the question of accounting for Specified Bank Notes (SBNs) deposited during the 2016 demonetization period. This article provides an in-depth analysis of the case and its implications. Grounds of Appeal Raised by Revenue: The Revenue initially challenged the Commissioner of Income Tax (Appeals) [CIT(A)] for del...