Does sole proprietor needs to show his personal assets in balance sheet

johny (own) (46 Points)

07 December 2020  

Hello

I file ITR3. I trade intraday,Short term trading, F&O. I have FD investment income, House rental income.
I made F&O loss but i come under non audit case but books need to be maintained case.
we need to enter the balancesheet details in the ITR3 for business.

1.Do we need to mention this personal FD investment as deposits under Application of Funds---Current assets, loans and advances---Loans and advances---Deposits, loans and advances to corporates and others ?

2.Do we need to mention House worth (house rented to tenant) as fixed asset under Application of Funds---Fixed assets?

3.Do we need to mention advance amount that we received from tenant under Application of Funds---Current assets, loans and advances---Current liabilities and provisions-B.Liability for Leased Assets ? fyi, this advance will be returned to tenant once he vacates the building

4.And what should be the proprietors capital? Should it be my previous year's personal closing balance or the closing balance at my broker's account +funds i transferred to my broker account as proprietors capital?

5.In the books of accounts, do the FD investment ,rental income details need to be recorded

6.buy value and sell value details that need to be entered in the P&L statement goes above 2cr since trading was done in futures.
My account does not come under audit case but Is there any issue since it goes above 2 cr in this buy and sell value because these values are calculated with futures contracts price?

7.Since trading is a sole proprietorship business , cash in hand and cash at bank are same for personal as well as business. am i correct? If not do we need to maintain separate cash in hand for personal and business, similarly cash at bank?

8.Basically what I am trying to understand is that incase of partnership business, we have to have separate balance sheet for business and personal and we will be entering business balance sheet in the ITR3. But incase of sole proprietorship business like trading, should we need to maintain separate balance sheet for business and separate balance sheet for personal and enter only business balance sheet in ITR3?

9.Ultimately it comes to Does sole proprietor needs to show his personal assets in balance sheet of sole proprietorship business in ITR3?


Requesting experts please share your points on the above queries. I would really appreciate your help.

Thank you