Functional comparability governs selection of support-service and IT-enabled service comparables, with verification required for unresolved data and m...
Bank account freezing requires statutory authority; anti-money-laundering compliance and KYC monitoring do not permit unilateral indefinite restrictio...
ITAT held that the rejection of books and estimation of business income at 25% or 8% of undisclosed advertisement contract receipts was arbitrary and unsupported by comparable cases, industry data, or specific defects in accounts. Considering the assessee's past average profit margin of 3.5%, the thin-margin nature of advertisement agency business, and absence of contrary material, the Tribunal directed estimation of income at 5% of the relevant contract receipts. ITAT further accepted that cash deposits represented business receipts already embedded in the profit estimation; a separate addition would result in impermissible double taxation. Consequently, the assessment was modified and the assessee's appeal was partly allowed.
ITAT held that the rejection of books and estimation of business income at 25% or 8% of undisclosed advertisement contract receipts was arbitrary and unsupported by comparable cases, industry data, or specific defects in accounts. Considering the assessee's past average profit margin of 3.5%, the thin-margin nature of advertisement agency business, and absence of contrary material, the Tribunal directed estimation of income at 5% of the relevant contract receipts. ITAT further accepted that cash deposits represented business receipts already embedded in the profit estimation; a separate addition would result in impermissible double taxation. Consequently, the assessment was modified and the assessee's appeal was partly allowed.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4828 
Join Channel 
