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2017 (3) TMI 1231 - AT - Income TaxG.P. estimation - Held that:- We are of the view that in the totality of the facts as discussed above where assessee is doing manufacturing and providing job work, regular books of accounts are duly audited with almost double revenue as well as gross profit as compared to preceding Financial Year and turbulence faced in the business due to natural calamity in the form of floods which altogether lead to minor decrease in gross profit rate, no addition was called for by estimating gross profit rate at 23% and, therefore, book result of the assessee needs to be accepted. - Decided in favour of assessee Disallowance of loss suffered due to flood - Held that:- As on one hand, assessee has claimed loss of ₹ 15,43,049/- and on the other hand, has not disputed the Surveyor’s Report showing safe stocks of residual materials at ₹ 16,93,596/- and also accepting that the goods in question are chemicals which losses its value, if mixed with water, but certainly has some value, we find it justified to sustain the disallowance of loss due to flood at ₹ 1,50,000/- as against ₹ 15,43,049/- claimed by the assessee.
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