A.O can not estimate Higher G.P. ratio without Specific Reasons

In this case has not rejected the books results of the assessee, nor has given any specific reasoning why the GP rate adopted by the assessee should be disturbed. Assessee has shown GP rate 24.54%. 20.53% GP was accepted by the Tribunal in the assessee’s own case in earlier years. Thus, nothing has been brought on record to prove lacunae in the assessee’s books of accounts, neither any reason has been stated why the GP rate should be disturbed and GP should be estimated at 30%. We find that there is no cogent basis in the Assessing Officer’s decision in making the addition in this case. ...