https://www.taxtmi.com/caselaws?id=456326 ITAT Mumbai reduced estimated net profit rates for contractor from 11% to 9% on direct contracts and from 5.5% to 4.5% on sub-contracts, following precedent from earlier years. For rental receipts, profit estimation was set at 85% of gross receipts based on unchallenged departmental acceptance in subsequent years. Bogus sub-contract charges were subsumed within the 9% profit estimation rather than treated as separate additions. Deduction claims under Chapter VIA were remanded to AO for proper examination. Foreign travel expenses disallowance was upheld due to failure to establish business purpose. Self-disallowed depreciation in return filed under Section 153A was confirmed as not allowable without supporting facts. en-us Fri, 22 Sep 2023 00:00:00 +0530 Tue, 16 Jul 2024 21:04:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=456326 ITAT Mumbai reduced estimated net profit rates for contractor from 11% to 9% on direct contracts and from 5.5% to 4.5% on sub-contracts, following precedent from earlier years. For rental receipts, profit estimation was set at 85% of gross receipts based on unchallenged departmental acceptance in subsequent years. Bogus sub-contract charges were subsumed within the 9% profit estimation rather than treated as separate additions. Deduction claims under Chapter VIA were remanded to AO for proper examination. Foreign travel expenses disallowance was upheld due to failure to establish business purpose. Self-disallowed depreciation in return filed under Section 153A was confirmed as not allowable without supporting facts. Case-Laws Income Tax Fri, 22 Sep 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=456326