Best-judgment income estimation upheld where no books existed and the dispute turned on factual appreciation.

Estimation of income on a best-judgment basis was upheld where the assessee had not maintained books of account. The appellate authority estimated income per truck by relying on past history, the nature of the transport business, material placed before the Settlement Commission, and comparable receipts of family members in similar business. The Tribunal agreed that, in the absence of books, no precise mathematical formula was possible and the matter depended on factual appreciation rather than a legal principle. No substantial question of law arose under section 260A, so the Revenue's challenge to the factual estimate was not maintainable.

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Issues: Whether any substantial question of law arose under section 260A from the Tribunal's affirmation of the estimated income per truck made by the appellate authority in the absence of books of account.

Analysis: The assessment was made under best judgment principles because the assessee had not maintained books of account. The appellate authority estimated income per truck by considering the assessee's past history, the nature of the business, the material placed before the Settlement Commission, and comparable receipts of family members engaged in similar transport business. The Tribunal upheld that estimate, noting that in the absence of books there could be no precise mathematical formula and that the matter turned on appreciation of facts rather than on any legal principle.

Conclusion: No substantial question of law arose for consideration, and the Revenue's challenge to the factual estimation was not maintainable.

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