2021 (1) TMI 464 - ITAT HYDERABAD - Income Tax

Head Note / Extract:
Estimation of profit - Assessee submitted he is not maintaining the books of accounts and that the AO should have estimated the income at reasonable percentage which is about 6% - HELD THAT:- CIT(A) without examining the profit percentage in the years before the A.Y. 2012-13 and without giving any reasons has estimated the profit percentage at 7% of gross receipts. In view of the same, we deem it fit and proper to remand the issue to the file of AO with a direction to re-consider the issue and accordingly estimate the income de-novo.