consonance with increase in turnover for current year, it was
submitted that increase in the turnover may result in increase in GP in absolute
terms ... turnover, it results in decrease in GP %, due
to decrease in the margins, in order to achieve higher turnover. It was
submitted that reason
diesel and electricity,
salary, PF, bonus and other items. Though the turnover had decreased,
the production was higher as shown by the higher closing stock ... establishment. Even though turnover did not increase, the closing stock
had increased and the GP rate had not decreased. In these
Harbans Lal Sethi, Jaipur vs Addl. Cit, Kota on 30 May, 2017
vk;dj vihyh
profit
has decreased by 1.87%, whereas the employee cost increased by
13.46 %. Despite steep decrease in turnover, with almost same
amount of overhead costs ... there is decrease in returned income for A.Y. 2013-14. The comparative table
containing assessment year, turnover, net profit, direct expenses like material
consumption
previous years'
appellate order without ignoring the increase or decrease in turnover of
assessee company each year. The said addition was without taking care
Ward 4(2), Jaipur vs. Bharat Metal Fabricators.
turnover has decreased as compare to the previous year, he restricted the
disallowance out of labour expenses ... looked at the labour cost as a percentage of turnover
which has declined from 11.18% to 6.06% during the year under consideration
and has restricted
fall in the turnover by Rs.3.11 crores
which was a decrease of 42.52%,
5.1 Instead of appreciating the facts of the case ... fact a decrease in the expenses during
the year; but she failed to take into consideration the decrease in
the turnover as we!!. She repeatedly
price. Moreover with
respect to 43.27% of the turnover, no reasons have been
given for decrease in GP rate as compared to last year ... turnover. For
the balance part of the turnover where reasons have been
given, it is not possible to quantify the decrease in gross
profit
high as compared to
earlier years despite the fact that the turnover has decreased in
comparison to earlier years and accordingly book results were
rejected ... were called for with regard to
disproportionate expenses as compared with the turnover/sales. It
was further submitted that the AO only proposed to disallow
rate of 6.76% on turnover of Rs 114,52,126 which is better than G.P rate of
6.06% on turnover ... trend which is emerging is that though the turnover of the
appellant has decreased during the year, it is able to report
