Scrutiny assessment

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Richa (Querist)
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30 April 2014 Respected Sir,
My query is:
I have a client who had given some money to one of his business collegue.
During the income tax raid on that collegue it came in to department personnel 's knowledge about the money he had received from my collegue and he also accepted the same.
My question is that can my client deny that he has not given any such money to his business collegue.If yes,to support his arguement what should he do.
plz reply asap..its urgent

Sandeep Dharar

Sandeep Dharar (Expert)
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30 April 2014 Richa if ur client can give explanation about that money then u can accept that it was given by him. Or if the money was in cash & there is no record for that then better to deny. Otherwise he will b in danger

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Richa

Richa (Querist)
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30 April 2014 thank u so much for reply sir but can u plz elaborate more as to on what basis he can deny the allegation.what can he say as to support his arguement as my assessee has been served with notice to explain the source of income for the said money
can u plz quote case law if any in this matter

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Richa

Richa (Querist)
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30 April 2014 the assessee's business collegue had maintained a register in which he had recorded the name of persons along with the amt of money recd. the said register was found during the income tax raid and business collegue also accepted in statement on oath that he has recd from the persons whose name is there in register

Sandeep Dharar

Sandeep Dharar (Expert)
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30 April 2014 Thats what I said if there is record of the above transaction then u must have to accept it. Is there any document which can b challenged in the court of Law?

Richa

Richa (Querist)
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30 April 2014 there is only a register containing the names n details of all the persons from whom that person had recd money and his admission of receiving money in statement of oath..

Sandeep Dharar

Sandeep Dharar (Expert)
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02 May 2014 Does any person from ue side has given approval of lending that amount?? If not in written then u can deny it.