ITAT Reduces Profit Estimation to 3% as 8% Was Excessive for Electronics Trading Business

Advertisement Sunil Kumar Sawa Vs DCIT/ACIT (ITAT Ranchi) The Income Tax Appellate Tribunal (ITAT), Ranchi, partly allowed the assessee’s appeal by reducing the estimated net profit rate from 8% to 3% on deposits made in undisclosed bank accounts, holding that the higher rate adopted by the Commissioner of Income Tax (Appeals) [CIT(A)] was excessive considering the nature of the assessee’s business, business volume, and profit margins. The assessee, engaged in the business of agency and trading of electronic goods under the name M/s Universal Hi-Tech, had originally filed a return decla...