adhoc determination of income under income tax.

[gangaram chandwani]

Are there any case laws available on subject of adhoc additions and adhoc determination of income under income tax law?

AI Summary

Clarification on Income Tax: No Adhoc Income Calculation; Section 44AD Allows 8% of Gross Receipts for Business Income. A forum participant inquired about case laws related to adhoc additions and the adhoc determination of income under income tax law. The response clarified that there is no adhoc basis for calculating income tax. However, section 44AD of the Income Tax Act allows for 8% of gross receipts or gross turnover to be considered as net income from business, though this provision does not apply to professionals as defined in the Income Tax Act.