Rejection of books of account u/s 145(3) - non maintenance of ...

Section 145(3) IT Act: Books rejection can't be based solely on missing stock register for small/medium businesses.

August 1, 2020

Case Laws Income Tax AT

Rejection of books of account u/s 145(3) - non maintenance of stock register was not sufficient for exercising the power of rejecting the books of the assessee. - It is not unusual for businesses dealing in large number of small items and operating at a small or medium scale to do away with the maintenance of any stock register since it is not feasible maintaining movement of stock of every such item. Such businesses usually verify physically their stock at the end of the year - AT

View Source

← Previous Next →

Rejection of books of account u/s 145(3) - non maintenance of ...

Section 145(3) IT Act: Books rejection can't be based solely on missing stock register for small/medium businesses.

August 1, 2020

Case Laws Income Tax AT

You may also like:

Valuation by DVO - addition based on estimated cost disregarding actual cost as per books - applicability of section 142A before amendment - non-rejection of books - AO...

Rejection of books of accounts - valuation of the closing stock - gross profit margin - Assessment was complete u/s 143(3) - After that, during survey u/s 133A, assessee...

Rejection of books of accounts u/s 145(3) - assesee was dealing in gems and jewellery - It is difficult to maintain the stock register in this line of business of the...

The HC determined that in a dishonored cheque case under Section 138 of the Negotiable Instruments Act, proceedings had not yet reached the stage contemplated under...

Valuation of closing stock - provisions of section 145A has overriding effect on the provisions of section 145 - the said provisions are applicable not only on closing...

Provision of section 145(3) invoked without satisfying conditions - books of accounts rejected without following proper procedure u/s 144. Gross profit addition made...

Assessee's petition dismissed. HC held seizure of jewelry stock u/s 132A valid. Itemized stock register not furnished by assessee to authorities' satisfaction. Net...

Rejection of books of accounts u/s 145 - Addition u/ss 68/69A with 115BBE - cash deposited during demonetization as unexplained credit. The Assessing Officer did not...

Invocation of section 145(3) - existence of infirmities and discrepancies in the accounts maintained by the assessee was a pre-requisite for invoking the provisions of...

Rejection of books of account merely for absence of stock register - o satisfactory explanation had been furnished by the assessee for not maintaining the stock register....

Statute does not prohibit or enjoin the Commissioner from registering Trust solely based on its objects, without any activity, in the case of a newly registered Trust u/s 12AA - HC

Rejection of Books of Accounts - mere disclosure of a low net profit would not enable the AO to invoke the provisions of section 145(1) - HC

Rejection of book results u/s 145 - estimating the income at 5 percent of gross receipts - no material was brought to establish that the purchases and expenses had been...

The ITAT upheld the CIT(A)'s decision to reject the assessee's books of accounts under section 145 and estimate income under section 144. The Tribunal clarified that...

Excess stock found during survey triggered initiation of proceedings against petitioner. Court held if excess stock found, proceedings u/ss 73/74 of GST Act should be...

Quick Updates: