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2016 (7) TMI 163 - AT - Income TaxEstimation of GP rate - Assessee was running liquor, wine and beer shop - AO rejected the books of account by invoking section 145(3). - Held that:- Purchases made by the assessee are duly supported by proper vouchers and are regulated by the Excise Authorities and payment of liquor is made through Government on the basis of the auction conducted by the Government. In the case of Laxmi Narain Ramswaroop Shivhare [2008 (12) TMI 290 - ITAT AGRA], the majority view was that as regards the sale, the nature of the assessee's business was such that it cannot maintain proper sale bills. In this case also, the nature of assessee's business is such that it cannot maintain proper sale bills. In the case of Laxmi Narain Ramswaroop Shivhare (supra), the majority view was that the profit varies from area to area and the bid money and small variation of the profit cannot be ruled out. Thus, we do not see any ground for rejecting the book results. Therefore, the declared audited results are to be accepted and estimation of income by applying the net profit rate of 8% was not proper. Accordingly, we delete the addition - Decided in favour of assessee
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