https://www.taxtmi.com/caselaws?id=786171 Reopening an assessment under section 147 solely because an assessee reported a low net profit rate was held invalid where the assessing officer lacked a live nexus between tangible material on record and the recorded reasons. The tribunal found estimating income by applying a higher presumptive net profit percentage was unsupported, noting that the appellate authority's reliance on a prior year figure was undermined by the ITAT's subsequent deletion of that addition in the earlier year. Consequence: the reassessment was quashed and decision given in favour of the assessee. en-us Wed, 04 Feb 2026 00:00:00 +0530 Sat, 07 Feb 2026 07:19:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=786171 Reopening an assessment under section 147 solely because an assessee reported a low net profit rate was held invalid where the assessing officer lacked a live nexus between tangible material on record and the recorded reasons. The tribunal found estimating income by applying a higher presumptive net profit percentage was unsupported, noting that the appellate authority's reliance on a prior year figure was undermined by the ITAT's subsequent deletion of that addition in the earlier year. Consequence: the reassessment was quashed and decision given in favour of the assessee. Case-Laws Income Tax Wed, 04 Feb 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=786171