2019 (7) TMI 1154

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..... e Respondent(s) : Mr. G.S. Chouhan JUDGMENT 1. The question of law sought to be urged by the assessee/appellant is whether the rejection of its books of account and imposition of Gross Profit Rate at 1.03% (with the corresponding Gross Profit Margin of 7.98%) based upon the previous assessment years returned and accepted rate, is justified. 2. The facts are that the assessee carries on business .....

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..... nd applying the pattern of previous return years, which were accepted by the Revenue, the Gross Profit Margin and profit rate were imposed for calculating the tax liability; the assessment was completed of Rs.1,32,74503/-. 3. The assessee carried this order in appeal; the CIT (Appeals), exhaustively listed the grounds of appeal i.e. the grievances lodged and then concluded in favour of the assess .....

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..... of the Act and the statutory auditor have not pointed out any specific defects in maintaining the books of account. As regards the non maintenance of stock register and quantitative tally, it is seen that the appellant deals in spare part of machinery the volume of which is numerous and it is not a case of the A.O. that the valuation of closing stock made by the appellant is not in accordance with .....

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..... d by the Revenue, considered the entire record and noticed that the books of accounts in this case were not reliable. The assessee's returns had relied upon the books of accounts to declare the net profit margin at 0.52% - with the corresponding gross profit margin of 3.50%. Furthermore, it is evident that as against the turn over reported for the concerned assessment year i.e. AY 2009-10, which w .....

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..... of denial of opportunity to appear before the ITAT, is unpersuasive and cannot be accepted. A notice of hearing clearly was served on 24.07.2013; the hearing was to take place on 02.09.2013. There is no document relied upon by the assessee to show that he was incapacitated; he was prevented from instructing his counsel to appear before the ITAT on the date of hearing fixed for that purpose on whi .....

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