Benign Assessment Procedure for diamond businesses permits acceptance of declared trading profit at a prescribed percentage of turnover. The Benign Assessment Procedure for diamond manufacturing and trading directs acceptance of declared trading profits where an assessee reports income equal to or higher than 6% of turnover for that business in an assessment year. Assessees must maintain separate books of accounts. Acceptance at that rate for a year is not precedent. The procedure is excluded where assessment follows search, requisition or survey actions, where substantial deductions are claimed under specified chapters, or where information of escapement exists. The prescribed rate will be reviewed annually and the instruction is issued under the administrative power in the Income-tax Act.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Benign Assessment Procedure for diamond businesses permits acceptance of declared trading profit at a prescribed percentage of turnover.
The Benign Assessment Procedure for diamond manufacturing and trading directs acceptance of declared trading profits where an assessee reports income equal to or higher than 6% of turnover for that business in an assessment year. Assessees must maintain separate books of accounts. Acceptance at that rate for a year is not precedent. The procedure is excluded where assessment follows search, requisition or survey actions, where substantial deductions are claimed under specified chapters, or where information of escapement exists. The prescribed rate will be reviewed annually and the instruction is issued under the administrative power in the Income-tax Act.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
