https://www.taxtmi.com/caselaws?id=64102 Defects in the stock and trading records justified application of section 145, but the alleged stock suppression was rejected because the insurance cover did not exceed actual stock-in-hand. The assessee had disclosed gross profit at 14% on higher sales than in the preceding year, and later assessments also accepted lower profit rates. Gross profit is not a fixed or sacrosanct figure and may vary marginally; on these facts, there was no adequate basis to estimate sales upward or apply a higher gross profit rate. The trading addition was therefore deleted as unjustified. en-us Fri, 20 Feb 1976 00:00:00 +0530 Thu, 03 Feb 2011 18:12:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=64102 Defects in the stock and trading records justified application of section 145, but the alleged stock suppression was rejected because the insurance cover did not exceed actual stock-in-hand. The assessee had disclosed gross profit at 14% on higher sales than in the preceding year, and later assessments also accepted lower profit rates. Gross profit is not a fixed or sacrosanct figure and may vary marginally; on these facts, there was no adequate basis to estimate sales upward or apply a higher gross profit rate. The trading addition was therefore deleted as unjustified. Case-Laws Income Tax Fri, 20 Feb 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=64102