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Legal opinion

07 January 2020

my client is engaged in the business trading of sheep and goat during the f.y 2017-18 and he has received in current account with neft 95 lacs rupees as sales and not file itr for the above said year he has received compliance notice and all purchase made cash kindly suggest

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3 Replies

CMA M.Keerthi chandra (C.A FINAL STUDENT AND QUALIFIED C.M.A) (561 Points)
Replied 07 January 2020

It seems that you do not maintain any books of accounts or records. Account for both the sales and purchases with the help of documents if any or else bank statements. File return of Income under presumptive basis (minimum requirement).

Non filing in such cases results in severe consequences like treating all the credits in bank accounts as sales or as unexplained credits etc