https://www.taxtmi.com/forum/issue?id=113530 An upward trend in reported taxable income, including a year on year increase without business expansion, is unlikely by itself to provoke a notice from the tax department, since higher tax payments generally send a positive signal. Persistent unexplained reductions are more likely to trigger scrutiny. The key compliance point is the taxpayer's ability to justify turnover with books, invoices and other documentary support; lacking credible explanation, assessing officers may still question returns. en-us Sat, 24 Mar 2018 17:36:29 +0530 Thu, 23 Jan 2025 15:55:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=113530 An upward trend in reported taxable income, including a year on year increase without business expansion, is unlikely by itself to provoke a notice from the tax department, since higher tax payments generally send a positive signal. Persistent unexplained reductions are more likely to trigger scrutiny. The key compliance point is the taxpayer's ability to justify turnover with books, invoices and other documentary support; lacking credible explanation, assessing officers may still question returns. Discussion-Forum Income Tax Sat, 24 Mar 2018 17:36:29 +0530 https://www.taxtmi.com/forum/issue?id=113530