Assessee, running a hardware store, filed its return declaring net profit of 0.99 per cent of turnover . Assessing Officer found that turnover of assessee’s business was more than Rs. 1 crore but assessee had failed to get accounts audited under section 44AB . He applied provisions of section 44AD and estimated business profit at 8 percent of assessee’s turnover . On appeal the Tribunal held that\u00a0 on facts, Assessing Officer could have ventured into estimation only after rejecting books of account of assessee and thereafter make best judgment assessment under section 144 since Assessing Officer had gone for estimation of income without rejecting books of account of assessee, impugned order passed by him was to be set aside . (AY. 2014 -15 )<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 44AD :Presumptive taxation- Turnover exceeded Rs 1 crore \u2013 Accounts not Audited \u2013 Net profit shown 0.99% of turnover \u2013 Assessing Officer estimated at 8% of turnover – Assessing Officer cannot make estimation of income without rejecting the books of account [ S.44AB , 144 ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-19261","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-50F","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/19261","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=19261"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/19261\/revisions"}],"predecessor-version":[{"id":19262,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/19261\/revisions\/19262"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=19261"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=19261"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=19261"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}