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TMI Blog2015 (11) TMI 1541X X X X Extracts X X X X X X X X Extracts X X X X ..... O R D E R Per Bench: The appeal filed by the revenue and the cross-objection filed by the assessee are directed against the order dated 12.7.2012 passed by the ld. CIT(A)-25, Mumbai and it relates to the assessment year 2009-10. 2. The revenue is aggrieved by the decision of ld.CIT(A) in reducing the addition made to the gross profit from 0.5 percent to 0.1 per cent. In the Cross-objection, t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dingly, the AO took the view that non-maintenance of stock register quality-wise was not correct and hence the stock register maintained by the assessee was not reliable. The AO further compared the rate of profit declared by two other diamonds traders. The assessee submitted before the AO that he had incurred loss to the tune of Rs. 2.29 crores on account of foreign exchange fluctuations and acco ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... A) took the view that there is no case for rejection of books of account and making huge addition of Rs. 25.58 lakhs on low GP @ 0.5 of the turnover. However, having regard to the overall circumstances, the AO sustained the addition to the extent of 0.1% of the turnover. 5. The ld. DR placed strong reliance on the order passed by the AO. 6. The ld. AR, on the contrary, submitted that the ld.CIT( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ria. Hence, non maintenance of quality-wise stock register was certainly a deficiency on the part of the assessee. Accordingly, in our view the ld. CIT(A) was justified in sustaining the addition to 0.1% of the turnover, considering the fact that the GP of the assessee has come down mainly due to foreign exchange loss. Accordingly, we do not find any infirmity in the order of ld. CIT(A) and confir ..... X X X X Extracts X X X X X X X X Extracts X X X X
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