Section 2(22)(e)

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

21 November 2012 AN ITO UNDER SCRUTINY ASSESSEMENT OF A.Y. 2009-08 ADDED DEBIT BALANCE OF 100000/- ON 30/06/2008 OF DIRECTOR LEDGER U/S 2(22)E WHEREAS AS ON 31/03/2009 THE DIRECTOR HAD CREDIT BALANCE.

WHETHER THE ITO IS CORRECT .PLEASE GUIDE WITH SUITABLE CASES.
THANKS IN ADVANCE

Tushar

Tushar (Expert)
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21 November 2012 According to the decision in case of Tarulata Shyam v. CIT [1977] 108 ITR 345 (SC) debit balance even if paid before year end section 2(22)(e) would get attracted.