Gross profit issue on tnvat act

[THYAGARAJAN KALYANASUNDARAM]

Dear experts,one of my customers are selling their goods as per their policy more than 20% gross profit. However the authority concern working out g.p. 10% and difference he was treated as suppression of purchase and ultimately he passed the order and demand was raised.Can anyone share case laws relates to defend this issue very urgently.with regards,K. Thyagarajan.

AI Summary

Customer Challenges TNVAT Act Order for Alleged Purchase Suppression Due to Discrepancy in Reported Gross Profit Margins A customer is facing an issue under the Tamil Nadu Value Added Tax (TNVAT) Act where their goods are sold with a gross profit exceeding 20%, but authorities calculated it at 10%, treating the difference as suppression of purchase. This resulted in an order and demand against the customer. The individual seeks urgent case law references to defend against this issue. A respondent requested a copy of the order, mentioning they report sales turnover at 50%.