years of the appellant shows that turnover in the current
year is similar to turnover in the assessment year 2009-10 and in that
year ... DCIT, Jaipur
similar turnover the N.P. was 2.30%. Further, the expenditure has
increased even when the turnover has decreased. The Authorized
Representative
books of results and estimated the profit @ 8% of the
total turnover thereby making an addition of
Rs.3,95,09,726/- without allowing ... this decrease is normal on account of significant increase
3
Vimal Khurana Pro. M/s. Royal Enterprises
ITANo.1312/Ind/2016
in the turnover which
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
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
showing net profit & turnover.
Refer Annexure-1
"
3. It is not disputed and challenged that the respondent-assessee was engaged
in supplying computer ... assessment order
states that there was exponential increase in the turnover from Rs.34.36 crore in
the last year to Rs.53.43 crore
applying the g.p. rate of 22% on the turnover of
7 ITA 76/JP/2018_
M/s Pawan Enterprises Vs ACIT ... fact the
turnover of the assessee has increased substantially and overall gross
profit of the assessee has also increased. The turnover of the assessee
applying the g.p.
rate of 22% on the turnover of Rs. 17,94,82,618/- as against g.p. rate of
19.43% shown ... Department. The ld.AR of the assessee also submitted the
reason of decrease in percentage of G.P. is increase of input cost in
comparison
resulted into
over-statement of GP during such year with the
corresponding decrease in the year under consideration. If
such error would not have crept ... Under (A.Y. 2006-
Consideration] 07)
1 Turnover 725.19 684.71
2 Gross Profit (as per books) 198.19 356.06
3 Value of scrap related
logic. The A.O. has lost
sight of the fact that the turnover of the appellant company has increased
multifold and by this logic also ... increased by 0.79%) during the year under
consideration. Had there been any decrease or loss resultant to the
increase of consumption, it would have been
Acit Cir. 6 (3) (2), Mumbai vs Kamani Oil Industries P. Ltd., Mumbai on 10
