https://www.taxtmi.com/caselaws?id=67304 Gross profit estimation must be supported by the assessee's books and comparable trading rates: where regular books were maintained, purchases were vouched and sales were generally evidenced by cash memos and bills, estimation of sales was justified only for unsupported petty sales below Rs. 10. The higher gross profit rates applied by the Income-tax Officer were excessive because reasonable rates of 15% in hardware and 10% in medicine had been accepted in other cases and matched the assessee's own disclosures. The assessment was modified by applying 15% gross profit to hardware and 10% to medicine on the estimated sales. en-us Wed, 28 Feb 1979 00:00:00 +0530 Thu, 10 Mar 2011 10:11:24 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=67304 Gross profit estimation must be supported by the assessee's books and comparable trading rates: where regular books were maintained, purchases were vouched and sales were generally evidenced by cash memos and bills, estimation of sales was justified only for unsupported petty sales below Rs. 10. The higher gross profit rates applied by the Income-tax Officer were excessive because reasonable rates of 15% in hardware and 10% in medicine had been accepted in other cases and matched the assessee's own disclosures. The assessment was modified by applying 15% gross profit to hardware and 10% to medicine on the estimated sales. Case-Laws Income Tax Wed, 28 Feb 1979 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=67304