https://www.taxtmi.com/caselaws?id=254096 Where a distributor sells gas cylinders on a principal-to-principal basis, the sale receipts form part of turnover for audit purposes, not mere commission income. On that footing, the turnover exceeded the statutory limit and audit under Section 44AB became mandatory. Failure to obtain the required audit made penalty proceedings under Section 271B sustainable, because no legally acceptable reasonable cause for non-compliance was shown. The stated commission-agent characterisation was rejected as inconsistent with the contractual terms and the actual nature of the business, and the audit obligation and consequential penalty were both upheld. en-us Fri, 05 Sep 2014 00:00:00 +0530 Fri, 12 Dec 2014 09:14:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=254096 Where a distributor sells gas cylinders on a principal-to-principal basis, the sale receipts form part of turnover for audit purposes, not mere commission income. On that footing, the turnover exceeded the statutory limit and audit under Section 44AB became mandatory. Failure to obtain the required audit made penalty proceedings under Section 271B sustainable, because no legally acceptable reasonable cause for non-compliance was shown. The stated commission-agent characterisation was rejected as inconsistent with the contractual terms and the actual nature of the business, and the audit obligation and consequential penalty were both upheld. Case-Laws Income Tax Fri, 05 Sep 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=254096