The assessee based on his commission income declared a profit margin of 2.63 per cent. instead of 11.08 per cent. declared in the original return. The Assessing Officer estimated the gross profit at 15 per cent. The Commissioner (Appeals) accepted the findings of the Assessing Officer for rejecting the book results but reduced the estimation of gross profit to 11 per cent. instead of 15 per cent. in terms of the rate as disclosed by the assessee in its original return. On appeal the Tribunal held that  the assessee could be assessed to tax only on real income and not on any estimation or surmises. The assessee had declared 11.08 per cent. as gross profit without substantiating the result declared by it. The assessee should be charged to tax at seven per cent. Considering the gross profit declared by the assessee in the assessment years 2011-12 and 2012-13, where there was six per cent. increase in the gross profit and the assessee must have increased its gross profit by 10 per cent. The Assessing Officer was directed to estimate the income at seven per cent.( AY.2013-14)