https://www.taxtmi.com/caselaws?id=760968 ITAT Chennai held that AO's rejection of assessee's books of accounts was unjustified. The AO failed to establish that assessee didn't follow proper accounting methods under Section 145(1) or compute income according to notified accounting standards under Section 145(2). Conditions for invoking Section 145(3) were not satisfied. AO's action based on mere suspicion without proper findings was unacceptable, especially when books were regularly maintained and audited under Section 44AB. Additionally, statements cannot be used against assessee without cross-examination opportunity as per SC precedent. CIT(A)'s decision upholding AO's action was overturned. Assessee's appeal allowed. en-us Wed, 23 Oct 2024 00:00:00 +0530 Wed, 30 Oct 2024 08:32:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=760968 ITAT Chennai held that AO's rejection of assessee's books of accounts was unjustified. The AO failed to establish that assessee didn't follow proper accounting methods under Section 145(1) or compute income according to notified accounting standards under Section 145(2). Conditions for invoking Section 145(3) were not satisfied. AO's action based on mere suspicion without proper findings was unacceptable, especially when books were regularly maintained and audited under Section 44AB. Additionally, statements cannot be used against assessee without cross-examination opportunity as per SC precedent. CIT(A)'s decision upholding AO's action was overturned. Assessee's appeal allowed. Case-Laws Income Tax Wed, 23 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=760968