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2012 (7) TMI 151 - AT - Income TaxAddition made u/s 40(a)(ia) - CIT(A) deleted the addition - assessee during the course of hearing filed a letter stating that the firm was covered by the provisions of section 44AD and maintenance of books was not mandatory - Held that:- Once under the special provision of section 44AD exemption from maintenance of books of accounts have been provided and the presumptive tax at 8% of the gross receipts itself is the basis for determining the taxable income, assessee's income cannot be increased beyond this amount disclosed by it. Though from the details filed by assessee AO observed that no TDS has been recovered but as the assessee has disclosed the profits more than 8% of the gross receipts and there is no dispute in receipt of the gross receipts the addition made u/s 40(a)(ia) is not sustainable - decided in favour of assessee.
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