decreased, that value of sales has increased from Rs. 14.75 crores in 1992-93 to Rs. 18.129 crores in 1993-94, that expenditure has decreased ... investigation. It is argued that sales turnover has been increasing, expenditure and loss has been decreasing. Learned Counsel for GAPL pointed out from the information
facts are that the
Assessing Officer found that the turnover of the assessee has decreased
from ... substantial increase of expenses in the face of drastic fall of
turnover. The assessee failed to furnish bills and vouchers in support of
the expenses
achieved turnover of Rs.736 lacs as against 200 lacs in the
earlier year. Therefore, there was increase of almost 268% in the
turnover ... thereafter noted that the
turnover of the assessee has increased by more than 3.5 times and
increased turnover would normally result in increase in over
rate
was prejudicially decrease in the present year but the turnover has increased
and therefore, the same was rightly accepted by the CIT(A). Hence
specify the reason of less profit this year although turnover
went up substantially as compare to last year.
2 ITA No. 1768/Del/2016 ... Assessing Officer observed that
even while the turnover has gone up the profit had declined and the decreasing
profit was mainly due to abnormal increase
year under consideration, the
turnover of the appellant company has significantly increased,
as a result overhead expenses per unit were decreased. The
detail
side. We have gone through the past results
and find that the turnover of the assessee in assessment year ... find while turnover of the assessee is increasing
from year to year the GP rate is decreasing. It is also not understood
turnover of Rs. 57,46,108/- (PBP-17) which
comes to 7.29% of the turnover and in this year the Royalty expenses was paid ... turnover of Rs.1,36,58,824/- which comes to 12.08% of
turnover i.e. the increase in royalty expenses at 4.79% from the last
year. Looking to the 250 times increase in the turnover, we
found that the marginal decrease in the G.P. is reasonable
material price and decrease in sale price due to tough competition.
Further, he submitted that looking to the volume of turnover, the activity
of ready ... Profit was due to increase in the cost of raw-
material and decrease in sale realization. We find that the AO did not
give
