Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2020 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2020 (12) TMI 386 - AT - Income TaxEstimation of income - Rejection of books of accounts - bogus expenditure - absence of bills and vouchers to support the expenditure claimed by the assessee - AO estimated the income of the assessee @8.5% of the gross bills and accordingly determined the total income on main contract works executed by the assessee - HELD THAT:- Estimation of income @8% is reasonable. Even though the assessee had the turnover over and above the limit of Section 44AD, the Special Bench of ITAT, Indore in the case of Arihant Builders Developers Vs. ACIT, [2006 (11) TMI 253 - ITAT INDORE ] held that – estimation of income taking the cue from Section 44AD is reasonable though the limit exceeds. Therefore, taking into consideration of the submissions of the assessee and the lead from the order orders relied up on by the assessee, we hold that the estimation of income @8% meets the needs of justice.
|