SHRI RANJIT KUMAR BADAJENA,BHUBANESWAR vs. DCIT, CIRCLE-2(2), BHUBANESWAR

This is an appeal filed by the assessee against the order of CIT(A)-2,

Bhubaneswar, dated 24.10.2016, for the assessment year 2010-2011 .

justified in estimating the income of the assessee by applying rate of 2.5%

of the turnover of Rs.9,10,79,422/-.

authorities and materials available on record. In the instant case, the

undisputed facts are that the Assessing Officer rejected the books of account of the assessee u/s.145(3) of the Act and thereafter determined

the profit of the business of the assessee by applying rate of 5% on the

gross turnover of Rs.9,10,79,422/- and determined the income at

Rs.45,53,971/-.

of the gross turnover and allowed relief of Rs.22,76,985/- to the assessee.

account of the assessee. The only submission of ld A.R.of the assessee is

that the profit of the assessee should be estimated at 1.5% and not at 2.5%

as done by the CIT(A). He submitted that before the CIT(A), the assessee

has filed a chart showing income accepted by the department u/s.143(3)

of the Act at 1.39% in the assessment year 2009-10, 1.85% in the

assessment year 2008-09 and 1.04% in the assessment year 2007-08. He

submitted that at best the income may be determined by applying the rate

of 1.85% and not at 2.5% done by the CIT(A).

the assessee and considering the past accepted results by the department

estimated the income by applying the rate of 2.5% to the gross turnover

of the assessee. I am of the considered opinion that the estimation of

income of the assessee in the present year by applying rate of 2.5% cannot be said to be highly excessive keeping in view the past accepted results of

the assessee. I, therefore, find no good and justifiable reason to interfere

with the order of the CIT(A), which is hereby confirmed and dismiss the

ground of appeal of the assessee.