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
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.
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