Case Law Analysis
|Income Tax Appellate Tribunal
Section 143(3) IT Act | Net Profit in Search Assessments Must Be Based on Seized Documents, Not Estimates : ITAT Delhi
ITAT Delhi rules that net profit calculations in search assessments under Section 143(3) must rely on actual figures from seized documents, rejecting uniform gross profit estimates. The decision reinforces that expense deductions require concrete evidence, not presumptive additions, impacting undisclosed income assessments for businesses.