https://www.taxtmi.com/caselaws?id=762807 The ITAT Hyderabad remanded the matter to the AO for fresh consideration regarding estimation of income from unexplained cash deposits. The assessee, who failed to file returns, operated as a commission agent and drip irrigation dealer. While CIT(A) estimated income at 8% of total deposits, the assessee claimed only 1.5% commission income, citing precedents from subsequent years and similar cases. The ITAT noted that since deposits represented two distinct business activities with potentially different commission rates, a single percentage application was inappropriate. The tribunal directed the AO to re-examine the issue considering relevant precedents and the nature of dual business activities. en-us Thu, 05 Dec 2024 00:00:00 +0530 Sat, 07 Dec 2024 08:14:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=762807 The ITAT Hyderabad remanded the matter to the AO for fresh consideration regarding estimation of income from unexplained cash deposits. The assessee, who failed to file returns, operated as a commission agent and drip irrigation dealer. While CIT(A) estimated income at 8% of total deposits, the assessee claimed only 1.5% commission income, citing precedents from subsequent years and similar cases. The ITAT noted that since deposits represented two distinct business activities with potentially different commission rates, a single percentage application was inappropriate. The tribunal directed the AO to re-examine the issue considering relevant precedents and the nature of dual business activities. Case-Laws Income Tax Thu, 05 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=762807