2017 (6) TMI 1252

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.... this appeal, the appellant has challenged the judgment and order of the Tribunal whereby the Tribunal has allowed the appeal of the Department and finding of the CIT(A) was reversed. 2. While admitting the appeal, this Court framed the following substantial question of law: "(1) Whether in the facts and circumstances of the case, the learned ITAT was justified in confirming the addition of Rs.....

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....r facts of that particular year when the price of stone fall and after considering the CIT(A), the Tribunal has observed as under: 5. He contended that without taking into consideration observations of CIT(A), the Tribunal has reversed the finding of CIT(A), therefore the matter deserves to be allowed and questions are to be answered in favour of the assessee. 6. Counsel for the respondent Mr. K....

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....me Khaniz Udyog (supra) and that too without any basis. The explanation given by the assessee is general and no material or cogent explanation has been brought on record for fall in the gross profit as compared to be immediate preceding year and therefore the decision of the ld. CIT(A) is reversed on this issue and we find no infirmity in the order of AO who has rightly estimated the income of app....

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.... 3) The assessee is a dealer of handicraft goods (processed semi precious gem stones) made by use of human art and skill and thus no standard price and margin can be assigned to it and therefore gross margin in bound to fluctuate. 4) During the year under consideration, inspite of recession in the global market the price of raw material and finished, semi precious stones in the local market did....