TMI Blog2014 (12) TMI 1418X X X X Extracts X X X X X X X X Extracts X X X X ..... omite. As regards the job work undertaken by the assessee, it is stated that this is the first year for the assessee to undertake this work and the AO failed to cite any comparable case while applying 10% G.P. on job work. It is seen that the ld. CIT(A) has sustained the addition of Rs. 3,82,023/- which appears to be on higher side particularly considering the facts and circumstances of the present case. Nature of the business carried out by the assessee, we think it proper to restrict the addition on both counts. - SHRI H.L. KARWA, PRESIDENT AND SHRI REJENDRA, ACCOUNTANT MEMEBR For the Appellant : None For the Respondent : Shri. S.K. Meena, Sr. D.R. ORDER PER H.L. KARWA, PRESIDENT This appeal by the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee to produce books of account. However, the assessee failed to produce the books of account stating that the same along with other documents were lost in transit while proceeding from Bhilai to Mandala on 15.02.2008. The A.O., after giving ample opportunity of being heard to the assessee, observed that there was decline in G.P. as compared to the immediately preceding year. Further, in the absence of books of account, the A.O. rejected the book results invoking provisions of section 145(3) of the Act. Accordingly, the A.O. worked out the G.P. at Rs. 28,18,796/- on sales of dolomite and job work as against Rs. 18,83,216/- shown by the assessee firm and made addition of Rs. 9,35,580/- to the returned income. 4. On appeal, the ld. CIT(A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of past year can not be applied in this year. It is more judicious to consider all these factors and in that eventuality, even past history may not have much relevance. 5. It is observed that the A.O. estimated the G.P. at 12.34% on sales of dolomite and 10% G.P. on job work. On appeal, the ld. CIT(A) adopted G.P. @ 10% in respect of sale of dolomite and @ 8% in respect of job work. It is true that G.P. rate cannot be uniform in all the years and it varies from year to year depending on several factors such as local market condition, fluctuation in rates etc. It is also observed that the A.O. has not cited any comparable case while estimating G.P. in respect of sale of dolomite. As regards the job work undertaken by the assessee, it is ..... X X X X Extracts X X X X X X X X Extracts X X X X
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