https://www.taxtmi.com/caselaws?id=189157 The court found the 40% gross profit estimation by the Assessing Officer and the Commissioner of Income-tax (Appeals) to be arbitrary and irrational, setting it aside. Instead, the court directed that the net profit be estimated at 2% of the estimated sales or 16% of the purchase value, whichever is higher, in the assessees' arrack business. This decision aimed to provide a more reasonable and just estimation, considering the nature of the business and adhering to best judgment assessment principles. en-us Tue, 21 Jun 2011 00:00:00 +0530 Sat, 08 Apr 2023 11:04:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=189157 The court found the 40% gross profit estimation by the Assessing Officer and the Commissioner of Income-tax (Appeals) to be arbitrary and irrational, setting it aside. Instead, the court directed that the net profit be estimated at 2% of the estimated sales or 16% of the purchase value, whichever is higher, in the assessees' arrack business. This decision aimed to provide a more reasonable and just estimation, considering the nature of the business and adhering to best judgment assessment principles. Case-Laws Income Tax Tue, 21 Jun 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=189157