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Gold loan , personal loan

mohammad tarique sohail (accountant) (196 Points)

25 July 2023

hi all,
1) I have taken a gold loan from bank which is my mother and wife assets. This one has been given to me for taking a loan. To engage in business. Will return after repaying the loan.Will show gold loan in liability. Gold cannot be shown in assets because it is not mine. So what should we do a gift show?
2) taken 1 personal loan also.mutual fund purchases not sale.

can I fill ITR 4.

pls guide me

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4 Replies

prasad Nilugal ( GST Practitioner & Accounts ) (14805 Points)
Replied 26 July 2023

What is total income / turnover from Business?.

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mohammad tarique sohail (accountant) (196 Points)
Replied 26 July 2023

Turnover is 21 lacs.

prasad Nilugal ( GST Practitioner & Accounts ) (14805 Points)
Replied 26 July 2023

Check section 44AD of the income tax Act will applicable or not to file ITR4 .

Priya Sharma (2 Points)
Replied 12 August 2024

Gold Loan & Asset Declaration: Since the gold used for your loan belongs to your mother and wife, you should list the gold loan amount as a liability in your financial statement. The gold itself should not be listed as an asset since it isn’t legally yours. You don’t need to show the gold as a gift in your tax return unless a formal gift deed is involved. Simply clarify in your filing that the gold is collateral for the loan and not part of your assets.
Personal Loan & Mutual Funds: List your personal loan under liabilities. For mutual funds, include their current value under assets if you’ve purchased them but not sold any. You don’t need to detail transactions for unsold mutual funds in your tax return.

Filing ITR 4: ITR 4 is suitable if you have business income under presumptive taxation, income from a profession, or other specified sources. Ensure your income sources and amounts match ITR 4 criteria. For a gold loan, Muthoot Finance is a reputable choice, but always compare terms with other providers.