falling drastically thereafter.
Meaning thereby, persons visiting Mumbai and lodging in hotels
decreased. With reference to occupancy in 5 star hotels such as Grand
Hyatt ... Renaissance, Inter
Continental Grand and Taj Lands End, he brought out the decrease in
occupancy; and hence the revenue. With reference to the balance sheet
place of
15.82% declared by assessee on the gross turnover of
Rs.1,69,62,197/-. Accordingly addition of Rs.7,09,229/- was made ... deleted on the basis of
observation that there was no substantial decrease in GP vis-à-vis
average of last three years GP calculated
turnover was Rs.106,66,34,514/-.
The G.P. was 0.51% and net profit was at 0.02% whereas the assessee
declared his turnover ... immediate preceding year. The AO asked the assessee for the
reasons for decrease in profit margin rate. The assessee could not offer any
satisfactory explanation
prevailing
confusion among the petroleum dealers. Once the price decreased on 16-02-
07 and brought at par with price ... paid as per Section 4 of the Act on the taxable
turnover. Taxable turnover is to be computed as per Section 5 r/w Section
prevailing confusion
among the petroleum dealers. Once the price decreased
on 16-02-07 and brought at par with price ... paid as per Section 4 of the Act on
the taxable turnover. Taxable turnover is to be
computed as per Section 5 r/w Section
place of
15.82% declared by assessee on the gross turnover of
Rs.1,69,62,197/-. Accordingly addition of Rs.7,09,229/- was made ... deleted on the basis of
observation that there was no substantial decrease in GP vis-à-vis
average of last three years GP calculated
Consequently, the (exempted) profit of the EOU unit would
decrease and the profit of the DTA unit in Mumbai would
increase ... submitted
that the assessee has proposed NP rate on turnover of Rs. 27,64,85,664/-
and the ld Assessing Officer has applied the same
arises how to determine the profit element. For this purpose, the
total turnover and percentage of gross profit for the earlier 3 years was
obtained ... gross profit rate was also
decreasing every year and in the year under consideration it has decreased to
3%. It is also an established fact
decrease in the net profit rate as compared
to the preceding year are general in nature viz due to
increase in turnover, execution of work
years it is 46.9% and 39.75%
respectively. Before AO, assesee explained the decrease in GP that
buyers are demanding discount due to recession as well ... makes major sales. However, AO rejected the
reason and stated that the turnover of the assessee has increased due
to opening of three new shops
