https://www.taxtmi.com/caselaws?id=463087 The ITAT Mumbai held that the AO's rejection of the assessee's books of account and estimation of net profit at 3% of turnover was unjustified, as the books were audited under section 44AB and supported by audited VAT reports and returns. The AO's verification of sales, purchases, and profit figures was satisfactory. The CIT(A) erred in sustaining the addition based on absence of sales bills despite the availability of comprehensive documentary evidence. The tribunal concluded that the 3% addition was founded on assumptions without material basis. Consequently, the appeal was allowed, and the estimation was set aside. en-us Sun, 04 Aug 2024 00:00:00 +0530 Tue, 05 Aug 2025 20:49:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=463087 The ITAT Mumbai held that the AO's rejection of the assessee's books of account and estimation of net profit at 3% of turnover was unjustified, as the books were audited under section 44AB and supported by audited VAT reports and returns. The AO's verification of sales, purchases, and profit figures was satisfactory. The CIT(A) erred in sustaining the addition based on absence of sales bills despite the availability of comprehensive documentary evidence. The tribunal concluded that the 3% addition was founded on assumptions without material basis. Consequently, the appeal was allowed, and the estimation was set aside. Case-Laws Income Tax Sun, 04 Aug 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=463087