1997 (9) TMI 158

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....the asst. yr. 1989-90. 2. The only grievance of the assessee relates to the sustenance of addition of Rs. 62,900 by the CIT(A) and all the grounds of appeal relate thereto. 3. Briefly stated, the assessee is a firm of three partners engaged in the trading of suitings and shirtings on semi-wholesale and partly on retail basis. In the year of account, which consisted of 17 months, the assessee....

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....ssee before us. 5. The learned counsel for the assessee submitted that the assessee-firm is assessed to tax since asst. yr. 1967-68. No trading addition has been made in earlier or subsequent assessment years. It is argued that the assessee has maintained proper books of accounts which are duly audited. No defects have been pointed out by the AO. It is pointed out that the assessee has maintain....

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....s. ITO (1993) 21 ITC 305; Damodardas Purshottamdas vs. ITO 19 ITC 50; and Shreenath Drillers vs. Asstt. CIT 22 ITC 174. 6. In oppugnation, the learned Departmental Representative submitted that the Revenue authorities have given cogent reasons for rejecting the book results and making the impugned addition, which deserves to be maintained. 7. We have considered the rival submissions, p....

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....les had registered increase and the same had more than doubled in the year of account as compared to the preceding two years. The slight fall in the margin of gross profit was explained by the assessee and it was asserted that the result shown in the books are reasonable looking to the volume and nature of assessee's business. It was also stated before the AO that the profit margin is not uniform ....