Net profit rate of 8% on contract receipts was appropriate: Calcutta HC

PCIT Vs Sikaria Infraprojects Pvt. Ltd. (Calcutta High Court) The case of Principal Commissioner of Income Tax (PCIT) Vs Sikaria Infraprojects Pvt. Ltd., adjudicated by the Calcutta High Court, revolves around the method of best judgment assessment and the application of net profit rates in the context of civil contract businesses. Here’s a detailed exploration of the case, its background, legal arguments, and the court’s decision. Background and Facts Sikaria Infraprojects Pvt. Ltd., engaged in civil contracting, underwent scrutiny for the assessment year 2009-10. The Income Tax D...