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6. The next issue is with regard to estimation of net profit at 1.30%. The appellant has admitted a net income of Rs.14,44,347 at 0.29% of turnover. However, the net profit admitted for A.Y 2010-11 is 1.30%. On comparison with similar cases and also in view of the appellant's trade results for A.Y 2010-11, the AO felt the profit admitted by the appellant for the year under question as very low. Accordingly, he estimated the net profit at 1.30% and made an addition of Rs.49,03,130. On this issue the appellant has submitted that edibile oil business is highly volatile business and the profit in the later years is due to introduction of new capital by the partners, reduction in interest expenses and investment in plant and machinery which resulted in higher production. I have gone through the submissions made by the appellant and found no force in the argument of the appellant. As observed by theao, if there is increase in the turnover in the subsequent year, the ratio of profit would decrease. With the introduction of new plant and machinery, the expenditure in the following year must be high and due to the depreciation claimed on the new machinery, the profit would reduce. Hence, the appellant's argument is not correct. Further, even though edible oil business is a highly volatile business, the market conditions prevailed in a particular year are one and same for all the traders and hence this is not a factor which drastically reduces the appellant's profit when compared to others. In view of ITA No.1182 of 2014 Siddhi Vegetable Oil Products this I am in agreement with the findings AO and the addition made on this count is sustained".