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
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
management fee payment does not satisfy the benefit test because though
the turnover of the assessee went down from 126.59 cr to 62.95 cr over ... over
the same period. The profitability has decreased substantially over the same
period.
It was explained that the US AE was very helpful in delisting
gross profit margins. The appellant
also submitted a comparative chart of turnover and expenses for the year under
consideration and the immediately preceding year ... production and as a result there was decline in the turnover also. There was
decline in the consumption of the raw material as well. However
authorities below is that there has been decrease in the
profits. The reason for decreasing profits is not connected with the services rendered
by Rehau ... financial year 2007-08. Whereas, there is no corresponding
increase in turnover during Financial Year 2008-09 as expected after installation of
additional production line
proportion of export
turnover of the eligible services to the total turnover of the business
carried on by the assessee. It is significant to note ... present case of appellant, such gains were reduced from
the export turnover but not from the profit / business income of the
eligible unit
especially when assessee did not have any turnover.
2. On the f acts and in the circumstances of the case ... taking cognizance of the fact that salary was increased
abnormally only to decrease the tax liability on account of income of
Rs.2.5 crores
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
computed by Ld. AO/TPO on
account of treatment of
decrease in stock as non-
operating in nature.
It was submitted that after incorporating correct ... certain filters like some companies are with
abnormally high margin and high turnover.
10 ITA no. 1153/Del/2014
(Element K India
noted the figures of gross profit, turnover and net profit. It was submitted
that the turnover of the assessee during the year under consideration
increased ... gross profit rate, as disclosed during the
year under consideration, though decreased but net profit rate had
increased. It was submitted that during assessment proceedings
