https://www.taxtmi.com/caselaws?id=761576 ITAT Chennai upheld CIT(A)'s methodology of applying regular GP rates to estimate profit on unaccounted sales from seized notebooks, finding it logical and reasonable. The tribunal directed exclusion of circular transactions between group entities as they don't constitute income. For bogus expenditure claims, ITAT sustained CIT(A)'s 12.5% disallowance estimation. Additions based on unsigned excel sheets without corroborative evidence were deleted, following Sant Lal precedent that third-party materials require independent verification. Addition for alleged accounting manipulation was deleted as email communications lacked incriminating evidence of actual tax evasion, and audited books showed no adverse findings. en-us Wed, 09 Oct 2024 00:00:00 +0530 Tue, 12 Nov 2024 12:22:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=761576 ITAT Chennai upheld CIT(A)'s methodology of applying regular GP rates to estimate profit on unaccounted sales from seized notebooks, finding it logical and reasonable. The tribunal directed exclusion of circular transactions between group entities as they don't constitute income. For bogus expenditure claims, ITAT sustained CIT(A)'s 12.5% disallowance estimation. Additions based on unsigned excel sheets without corroborative evidence were deleted, following Sant Lal precedent that third-party materials require independent verification. Addition for alleged accounting manipulation was deleted as email communications lacked incriminating evidence of actual tax evasion, and audited books showed no adverse findings. Case-Laws Income Tax Wed, 09 Oct 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=761576