https://www.taxtmi.com/caselaws?id=791510 Defects in salary and wage records, including inconsistent signatures, unverifiable cash payments, and missing worker details, justified rejection of the books under section 145(3) because they cast doubt on the completeness and genuineness of the accounts. Once the books were rejected, income had to be estimated on a rational basis; an 8% net profit rate was found arbitrary where past results were around 1% to 2% and no comparable material supported a higher margin. The estimation was therefore reduced to 3% of turnover, giving the assessee partial relief while sustaining the rejection of accounts. en-us Fri, 27 Mar 2026 00:00:00 +0530 Wed, 13 May 2026 08:36:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=791510 Defects in salary and wage records, including inconsistent signatures, unverifiable cash payments, and missing worker details, justified rejection of the books under section 145(3) because they cast doubt on the completeness and genuineness of the accounts. Once the books were rejected, income had to be estimated on a rational basis; an 8% net profit rate was found arbitrary where past results were around 1% to 2% and no comparable material supported a higher margin. The estimation was therefore reduced to 3% of turnover, giving the assessee partial relief while sustaining the rejection of accounts. Case-Laws Income Tax Fri, 27 Mar 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=791510