2018 (3) TMI 1667

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....assessment year 2010-11, taking the following grounds: "1. Because the order appealed against is bad in fact and in law. 2. Because the learned C.I.T. (Appeal) has fixed the N.P. (Net Profit) rate at 3% instead of 2.86% as shown by the appellant. 3. Because the learned C.I.T. (Appeal) has not considered the written submissions made before him in correct perspective. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....g N.P @ 3% has no basis. 7. Because the act of increasing N.P rate by learned C.I.T is ad-hoc, and there is no relevant material to corroborate such increase in N.P rate." 2. The AO, after rejecting the assessee's books of account, applied a net profit rate of 3.5% on the gross receipts of Rs. 11,27,43,678/-, computing the net profit earned by the assessee at Rs. 38,46,029/- as against....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

...., amongst others, 'CIT and others vs. M/s PNC Construction Company Ltd.', (ITA No.118 of 2010) (All), i.e., the Jurisdictional High Court, the past history needs to be followed in such cases. 6. As such, the net profit rate of 2.65% is directed to be applied and the addition is directed to be reduced accordingly. I.T.A No. 120/Agra/2016 7. This is assessee's appeal for assessment year 201....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....C.I.T. (Appeal) while fixing N.P rate at 3% instead of 2.86 % and also ignored the I.T.A.T Bench-E, New Delhi decision in the case of Mehta Construction Company Vs ITO. 6. Because the Supreme Court in the case of State of Orissa Vs Maharaja Sri B.P, Deo reported in AIR 1970 (S.C.) 670 has held that the assessment must be based on some relevant material. It is not a power that can be exerc....