https://www.taxtmi.com/caselaws?id=21205 In estimating business income on a flat-rate basis, partner's interest cannot be assumed to be covered by the estimate under section 40(b) unless the material shows it was actually taken into account. The record did not contain definite evidence that interest paid to partners had been included when the estimated income was fixed, so the finding that all probable expenses were absorbed in the flat rate was unsupported. As each assessment year is a separate unit, the matter required reconsideration in light of the treatment of partner's interest in earlier years and all relevant circumstances, and the Tribunal was directed to rehear the issue. en-us Wed, 08 Jul 1992 00:00:00 +0530 Fri, 20 Nov 2009 17:14:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=21205 In estimating business income on a flat-rate basis, partner's interest cannot be assumed to be covered by the estimate under section 40(b) unless the material shows it was actually taken into account. The record did not contain definite evidence that interest paid to partners had been included when the estimated income was fixed, so the finding that all probable expenses were absorbed in the flat rate was unsupported. As each assessment year is a separate unit, the matter required reconsideration in light of the treatment of partner's interest in earlier years and all relevant circumstances, and the Tribunal was directed to rehear the issue. Case-Laws Income Tax Wed, 08 Jul 1992 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=21205