https://www.taxtmi.com/caselaws?id=460692 ITAT Rajkot dismissed the Department's appeal regarding undisclosed investment in goods detected during Excise Department search. The tribunal upheld CIT(A)'s decision to restrict addition to gross profit only, deleting the balance addition for undisclosed investment under section 69C. Following precedents from Gujarat HC in President Industries and Leo Formulations cases, the tribunal held that only profit margin from undisclosed sales should be taxed, not entire sale proceeds, as the AO made no specific findings of undisclosed investment and merely assumed investment as source of purchases for subsequent sales. en-us Fri, 19 Jan 2024 00:00:00 +0530 Tue, 11 Feb 2025 13:32:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=460692 ITAT Rajkot dismissed the Department's appeal regarding undisclosed investment in goods detected during Excise Department search. The tribunal upheld CIT(A)'s decision to restrict addition to gross profit only, deleting the balance addition for undisclosed investment under section 69C. Following precedents from Gujarat HC in President Industries and Leo Formulations cases, the tribunal held that only profit margin from undisclosed sales should be taxed, not entire sale proceeds, as the AO made no specific findings of undisclosed investment and merely assumed investment as source of purchases for subsequent sales. Case-Laws Income Tax Fri, 19 Jan 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=460692