https://www.taxtmi.com/caselaws?id=771518 ITAT Ahmedabad allowed assessee's appeal partly, deleting additions made on account of low gross profit. The tribunal held that AO's rejection of books of accounts was unjustified as the reduced gross profit margin was due to interest costs included in the same project sold during the assessment year. No specific defects in books or suppression of sales were found. AO's arbitrary estimation of 9.94% gross profit lacked comparable industry data or market survey justification. Previous assessment years showed no discrepancy in GP ratio for the same commercial project, making the addition legally untenable. en-us Fri, 23 May 2025 00:00:00 +0530 Tue, 27 May 2025 08:32:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=771518 ITAT Ahmedabad allowed assessee's appeal partly, deleting additions made on account of low gross profit. The tribunal held that AO's rejection of books of accounts was unjustified as the reduced gross profit margin was due to interest costs included in the same project sold during the assessment year. No specific defects in books or suppression of sales were found. AO's arbitrary estimation of 9.94% gross profit lacked comparable industry data or market survey justification. Previous assessment years showed no discrepancy in GP ratio for the same commercial project, making the addition legally untenable. Case-Laws Income Tax Fri, 23 May 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=771518