One of my friend have a Dmat A/c in which his friend (Third person) done transaction and suffer huge losses. To fulfill his commitment towards stock broking company he have no option other than to collect cash approx. 8 lac from his friend and routed the same through SB A/c and net transfer the same to stock broking company to discharge his liability. Now he got a Notice U/s 143 (2) from Income Tax Deptt under CASS. What he can do now to clear his case in Income Tax Deptt and explain the cash deposited in his SB A/c?
06 September 2010
explain the source of income , by generating income of his , or convince them that amount is recd as loan from friEnds & RELATIVES ,BUT GO THRU sec 56 of the I.T ACT BEFORE DOING THIS .
CAclubindia
