https://www.taxtmi.com/caselaws?id=59002 Rejection of books of account was justified because the records did not enable true income to be ascertained, so the proviso to Section 145 of the Income-tax Act, 1961 applied. However, the higher net profit rate of 12% was not sustained because the Department produced no comparable case or other supporting material, while the declared receipts were accepted and the business was in its first year with nominal capital employed. In the absence of contrary evidence, the declared net profit rate was accepted and the addition based on 12% profit was deleted. en-us Sat, 21 Jun 1980 00:00:00 +0530 Thu, 23 Dec 2010 15:27:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=59002 Rejection of books of account was justified because the records did not enable true income to be ascertained, so the proviso to Section 145 of the Income-tax Act, 1961 applied. However, the higher net profit rate of 12% was not sustained because the Department produced no comparable case or other supporting material, while the declared receipts were accepted and the business was in its first year with nominal capital employed. In the absence of contrary evidence, the declared net profit rate was accepted and the addition based on 12% profit was deleted. Case-Laws Income Tax Sat, 21 Jun 1980 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=59002