https://www.taxtmi.com/caselaws?id=790562 Once books of account are rejected under section 145(3) of the Income-tax Act, gross profit may be estimated on a reasonable factual basis, and appellate interference is limited to cases where the adopted rate is shown to be unjustified. For receipts from M/s. Pandit Homes, the lower authorities' estimation was found excessive and the gross profit rate was reduced to 8% in favour of the assessee. For receipts from M/s. Bankey Bihari Builders and Developers, the assessee's declared rate already exceeded the reduced estimate of 7.5%, so no further interference was warranted. The appeal succeeded only to that limited extent. en-us Fri, 24 Apr 2026 00:00:00 +0530 Mon, 27 Apr 2026 08:21:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=790562 Once books of account are rejected under section 145(3) of the Income-tax Act, gross profit may be estimated on a reasonable factual basis, and appellate interference is limited to cases where the adopted rate is shown to be unjustified. For receipts from M/s. Pandit Homes, the lower authorities' estimation was found excessive and the gross profit rate was reduced to 8% in favour of the assessee. For receipts from M/s. Bankey Bihari Builders and Developers, the assessee's declared rate already exceeded the reduced estimate of 7.5%, so no further interference was warranted. The appeal succeeded only to that limited extent. Case-Laws Income Tax Fri, 24 Apr 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=790562