TMI Blog2023 (1) TMI 326X X X X Extracts X X X X X X X X Extracts X X X X ..... of 0.5% to 1%, when both the authorities have deemed it appropriate to apply 0.5% ratio, no indulgence is necessary. These are all essentially and predominantly the factual aspects analysed based on the material adduced before these authorities and that also by giving cogent and sound reasons, in absence of any question of law, much less any substantial questions of law for the court to admit this matter, this appeal is dismissed. - R/TAX APPEAL NO. 675 of 2022 - - - Dated:- 3-1-2023 - HONOURABLE MS. JUSTICE SONIA GOKANI AND HONOURABLE MR. JUSTICE SANDEEP N. BHATT MR KARAN SANGHANI FOR MRS KALPANAK RAVAL(1046) FOR THE APPELLANT(S) NO. 1 ORDER ( PER : HONOURABLE MS. JUSTICE SONIA GOKANI ) 1. Aggrieved by the order of I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contrary to the records of the AO? 2. The assessee company has filed return of income on 4.10.2020 declaring the total income of Rs2,20,780/-. Its return was processed under Section 143(1) and the case was selected for scrutiny assessment and accordingly, the notice was issued. 3. The assessee is a private limited company. It carried on the business of trading in iron and steel. Several requests were made by the Assessing Officer to the company to produce the books of accounts with supporting documents for finalizing the show cause notice. As they were not produced, it was asked to furnish once again on 8.3.2013. Moreover, the other substantial material and information had been called for. The company had purchased the goods from o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... entered into during normal course of business with the purchaser, i.e. M/s Indian Steel Corporation Ltd. The future contract with the Indian Steel Corporation Ltd. And M/s Shiv Ratna was entered into the month of December and the future sale rate was decided between the buyers and the company. 5. The CIT (Appeals) examined two issues namely, whether the action of the rejection of books of accounts by the Assessment Officer was correct and whether he had applied a correct method to work out the notional GP after rejecting the books of accounts. On being convinced that there was a serious defect which smacked of intra-group adjustment, the Assessment Officer had rightly pointed out the serious defect in the books of accounts of there bein ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... account of booking expenses of loading and unloading through the year which were found not verifiable. 13. The basis adopted by the Ld CIT(A), on the other hand we find is just and appropriate having considered the assessor s profitability in preceding year and succeeding years and the profitability in this line of business. 13.1 We therefore uphold the order of the Ld CIT(A) estimating the net profit of the assessee adopting the net profit of the assessee by adopting net profit rate of 0.5% of the turnover. 8. Aggrieved by this, the aforementioned questions of law have been raised before this Court. 9. We have heard learned senior standing counsel Mrs.Raval assisted by learned advocate Mr.Karan Sanghani. 10. We fin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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