01 January 2012
PD is my client and he is having rental income and he also recieves interest on moneys lent ,mostly to farmers and also to those who are not assessees by cash mode and receives back by cash.He did not maintain any accounts.
Please clarify me the head under which he has to declare his interest income, income from Other sources or under business head thereby he should not face troubles on scrutiny asst if selected.
if business, can he declare 8% or more on gross interest received u/s 44AD ?
07 January 2012
if cash loan is given / recd back is 20000/- or more than do not include such transactions else penalty u/s. 269SS / 269T will be invited. if wish to claim expenses against interest income than show as business.
CAclubindia
