cannot be known at the time of the agreement
what the turnover or profits will be over a period of
years. In similar interpretation ... lump sum, therefore, the same can increase or decrease
on the basis of turnover. It is also pertinent to note that
the above expenditure
license suspension period.
Further, during the A. Y., the turnover of the Appellant Company
also decreased substantially from
license suspension period.
Further, during the A. Y., the turnover of the Appellant Company
also decreased substantially from
moisture in the material per unit production
decreased. In all the other months the consumption of unit are normally
ranging within ... preceding year despite of around 20% increase in turnover. In
other words, there is just marginal decrease in GP rate. Also, if trading addition
total revenue for that year, as
follows:-
F.Y. Amount (Rs.) Turnover ... such, also for the reason that the turnover of the assessee company had
decreased in comparison to the earlier year
year was much higher. The marginal decrease in gross
profit rate was due to increase in turnover by almost 50% over the
last year. This ... year is much higher. The marginal decrease in
G. P. rate is due to increase in turnover by almost 50% over
the last year. Therefore
could not be rejected solely for
the reason that despite decrease in its turnover the expenses had more or
less remained static. Also the assessee
increase
the sales, margin of GP has slightly decreased in as much as the
turnover is roughly doubled. Thus, there is full justification ... increase the
sales, margin of GP has slightly decreased in as much as the turnover is
roughly doubled . The assessee did not submitted details
terms of percentage of the profit there was decrease
from 1.15% to 0.93% of the total turnover.
-8-
4.8 In view of above ... consideration in comparison to the earlier year but some expenses were
also decreased in comparison to the earlier year. As such all the
expenses were
there is a substantial increase in the
turnover of the assessee, therefore, merely there is a decrease in the GP rate does
not warrant ... decrease
in the GP from 1.08% to 0.92% is not so significant having regard to the three-fold
increase in the turnover. Even otherwise
