ITAT Reduces Commission Income Addition to 0.50% on Bank Transactions in Income Tax Appeal, Citing It as Reasonable

The ITAT reduced the commission income addition to 0.50% on bank transactions in an income tax appeal, citing it as reasonable. The assessee had contested the higher addition made by the AO, arguing that it did not reflect the actual commission earned. The Tribunal agreed and adjusted the addition to a more reasonable percentage, ensuring that the assessment accurately reflects the taxpayer's income. This ruling highlights the need for realistic and fair assessments, taking into account the nature of the business and industry practices. It reinforces the principle of equity in tax administration.