https://www.taxtmi.com/caselaws?id=69782 Account books cannot be rejected merely because gross profit falls or wastage is higher, unless the variation is substantial and supported by positive material showing the records are unreliable. Where the books are regularly maintained and supported by stock particulars, and the bought notes and stock records are not shown to be false or defective, the assessee's explanation may be accepted. On those facts, rejection of accounts was not warranted and the addition based on that rejection was deleted in favour of the assessee. en-us Tue, 09 Sep 1980 00:00:00 +0530 Fri, 23 Sep 2011 08:28:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=69782 Account books cannot be rejected merely because gross profit falls or wastage is higher, unless the variation is substantial and supported by positive material showing the records are unreliable. Where the books are regularly maintained and supported by stock particulars, and the bought notes and stock records are not shown to be false or defective, the assessee's explanation may be accepted. On those facts, rejection of accounts was not warranted and the addition based on that rejection was deleted in favour of the assessee. Case-Laws Income Tax Tue, 09 Sep 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=69782