https://www.taxtmi.com/caselaws?id=468879 In search assessments involving unaccounted on-money receipts, only the profit element embedded in such receipts can be taxed, and the estimate must be based on material on record and a fair factual working. The record showed both on-money receipts and cash expenditure for the project, so taxing the entire gross receipts without deduction for expenditure was not justified. The first appellate estimate was found unsupported by a proper basis and inconsistent with the assessee's project-wise accounting pattern and profit history. On these facts, net profit was directed to be estimated at 22% instead of 26%, with corresponding relief to the assessee. en-us Mon, 17 Mar 2025 00:00:00 +0530 Sat, 23 May 2026 13:37:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=468879 In search assessments involving unaccounted on-money receipts, only the profit element embedded in such receipts can be taxed, and the estimate must be based on material on record and a fair factual working. The record showed both on-money receipts and cash expenditure for the project, so taxing the entire gross receipts without deduction for expenditure was not justified. The first appellate estimate was found unsupported by a proper basis and inconsistent with the assessee's project-wise accounting pattern and profit history. On these facts, net profit was directed to be estimated at 22% instead of 26%, with corresponding relief to the assessee. Case-Laws Income Tax Mon, 17 Mar 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=468879