https://www.taxtmi.com/caselaws?id=38911 Estimated profits based on defective books may be treated as real commercial profits for applying section 23A of the Indian Income-tax Act, 1922, so long as the estimate does not introduce artificial or notional income. The assessee's objection that no dividend could be declared under its books, or that profits arose only on completion of contracts, did not defeat section 23A because those accounting questions belonged to the assessment proceedings, not the limited enquiry under section 23A. The court distinguished authorities involving notional additions and held that they did not apply on the facts found. Section 23A was therefore correctly applied in favour of the revenue. en-us Tue, 24 Sep 1974 00:00:00 +0530 Sat, 10 Apr 2010 13:07:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=38911 Estimated profits based on defective books may be treated as real commercial profits for applying section 23A of the Indian Income-tax Act, 1922, so long as the estimate does not introduce artificial or notional income. The assessee's objection that no dividend could be declared under its books, or that profits arose only on completion of contracts, did not defeat section 23A because those accounting questions belonged to the assessment proceedings, not the limited enquiry under section 23A. The court distinguished authorities involving notional additions and held that they did not apply on the facts found. Section 23A was therefore correctly applied in favour of the revenue. Case-Laws Income Tax Tue, 24 Sep 1974 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=38911