https://www.taxtmi.com/caselaws?id=447358 The HC set aside ITAT's arbitrary Rs. 4,00,000 ad hoc addition to gross profit, finding no material basis for the enhancement despite disclosed GP rate of 4.6%. The court held that AO's determination of 6% GP rate, reduced by CIT(A) to 5%, was further reduced by ITAT without proper justification. Additionally, HC deleted Rs. 9,00,000 addition under Section 68 regarding jewellery sale transactions, ruling that assessee provided satisfactory documentary evidence and AO's rejection was based on conjecture rather than objective material assessment. Decision favored assessee against revenue. en-us Tue, 12 Dec 2023 00:00:00 +0530 Thu, 19 Feb 2026 12:37:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=447358 The HC set aside ITAT's arbitrary Rs. 4,00,000 ad hoc addition to gross profit, finding no material basis for the enhancement despite disclosed GP rate of 4.6%. The court held that AO's determination of 6% GP rate, reduced by CIT(A) to 5%, was further reduced by ITAT without proper justification. Additionally, HC deleted Rs. 9,00,000 addition under Section 68 regarding jewellery sale transactions, ruling that assessee provided satisfactory documentary evidence and AO's rejection was based on conjecture rather than objective material assessment. Decision favored assessee against revenue. Case-Laws Income Tax Tue, 12 Dec 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=447358