2025 (10) TMI 570

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.... the Revenue : Ms U. Mini Chandran Sr. AR ORDER PER K. NARASIMHA CHARY, J.M: Aggrieved by the order dated 27/09/2024 passed by the learned Addl / Joint Commissioner of Income Tax (Appeals)-8, Mumbai ("Ld. CIT(A)"), in the case of Venkatesham Avula ("the assessee"), assessee preferred this appeal. 2. Briefly stated facts are that the assessee is an individual and filed his return of inc....

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..... Learned AR vehemently submitted that the estimation of income at 12% of the cash deposits is not sustainable. He has taken us through the margin of net profit would be around 4% to 4.5%. According to him, the average percentage of the business of the assessee is approximately 6%. He pleaded that in terms of section 44AD, it would be reasonable to estimate the income of the assessee at 6% on the ....

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....g the benefit of the provisions of section 44AD of the Act on the reason of eligibility factors. But the learned CIT(A) directed the learned Assessing Officer to adopt net profit at 12% on the total cash deposits. Assessee claims that the entire cash deposits are nothing but the business receipts. 7. Learned CIT(A) accepted that the total deposits made in cash in bank account during the FY 2016....