SATAIAH MOLUGU ,HYDERABAD vs. INCOME TAX OFFICER, WARD-15(4 ), HYDERABAD

With able assistance from revenue’s side, it is noticed at the outset that assessee’s sole substantive grievance challenges the correctness of both lower authorities’ action in estimating assessee’s icome @ 5% profit element qua the cash deposits in bank account to the tune of Rs.1,84,15,380/- on the ground that he has been carrying out telecom commission agent/recharge coupon AY 2016-17 Shri Sataiah Molugu, Hyd. provider of M/s Bharathi Airtel Limited. I notice that the Assessing officer’s impugned estimation of assessing assessee’s profit element at 5% is without any benchmark. In all these circumstances, I deem it appropriate that interest of justice would be met impugned profit element of 5% in assessee’s hands is reduced to 3.5% only with a rider that the instant estimation shall not be taken as precedent in any other case or A.Y.; as the case may be. Necessary computation shall follow as per law. This assessee’s appeal is partly allowed in above terms.