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"1. Ld. CIT(A) has erred in law and fact when he restricted the disallowance of Rs.24,28,854/- in respect of Bonus & Incentive to Rs. 12,14,427/- because A.O made this addition after making proper & factual comparison of this expense with expenses in this head in previous years. A.O indicated that the net profit of assessee was decreased from .23% of total turnover to .13% in this year due to increase in this expense. A.O also pointed that the expense in this head is increased from .91% of to l.30% of total receiving which is not justifiable, even in view of the stiff competition, as alleged. Considering the fact that assessee was not able to produce supporting evidences and proper explanation for its claim. The disallowance of Rs.24,20,854/- made by the A.O w.r.t. Bonus & Incentive is totally justifiable. A.O allowed the expense in this head 1.20% of turnover which is very much reasonable when compared with pervious year ratio of 0.91%."