15 September 2012
Dear sir, i've a piece of land in which iam carrying on my business. i've received rs.100000/- in cash from my cousin as an advance to sell a part of that land. later cash repaid to him due to disagreement. will this transaction attract any penalty? either under 269 SS, TT etc..
15 September 2012
Transaction entered by you is not a loan taking transaction so 269SS/T will not attract. However you have to prove its received only for advance against selling of land to AO in case objected by him.
15 September 2012
It will not attract to section 269SS only if you can substantiate the genuineness of the transaction. If you can prove it with the agreement to sale the property then it is not applicable. Otherwise, it will be treated as deposit. Advance in cash agaist sale of flat/land is nothing but deposit.
CAclubindia
