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Non filing income tax notice

AUDITOR VINOTHKUMAR (a) (870 Points)

16 August 2016

Dear sir / madam,

My client Received non filing notice from income tax department regarding for More than 10 Lahs. cash deposit

My client govt. retired pensioner he told me 10 lahs break up

1. RD CLOSURE AMOUNT (Maintained society account)

2. LEAVE SURRENDER SALARY

3. FD CLOSURE AMOUNT

abouve mendtioned Amount withdraw from society account to state bank of trancore

how to solve saving amount without tax calculation?

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9 Replies

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 16 August 2016

all three reasons mentioned above are related with banking transactions, and he has documents for the same, verify the same first, for RD closure, on closure the same is credited to bank account (NOT CASH) for Leave surrender the same is received by cheque, if the amount exeeds 20k for FD Closure, the maturity is credited to bank account (NOT CASH)

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AUDITOR VINOTHKUMAR (a) (870 Points)
Replied 16 August 2016

i checked RD account Amount withdraw same date deposited to other bank for cash

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 16 August 2016

bank RD does not redeem in cash, they credit the maturity proceeds to given bank a/c

raghavan (self) (611 Points)
Replied 16 August 2016

agreed with dharma. verify client bank Ac with dates of withdrawal. also calculate taxable income for concerned a.y. before representing for this case. all the best

raghavan (self) (611 Points)
Replied 16 August 2016

sorry sharma...mistaken spelling

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AUDITOR VINOTHKUMAR (a) (870 Points)
Replied 19 August 2016

Dear sir, RD AMOUNT : 6,00,000/- (With out interest )maturity taxable or exempt.

If exempt where can i show it ITR FORM

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 19 August 2016

n if sorce is tax paid then it is not income, but capital receipt,

check the filing status of years of contribution, to reconcile

AUDITOR VINOTHKUMAR (a) (870 Points)
Replied 19 August 2016

Sir, Thanks for reply.... NOT FILE IT RETURN THIS RELEVENT AY 2014-15.

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 19 August 2016

no more commentss where can not be reconsiled,

there may be no return of income, may be exempt , may be below the threshold limit to file the return,

BUT

the source must be confirmed, with financial records, viz PL a/c , balance sheet, bank statements, cash flow, ( any possible document available) that there is no "wilful evasion is made"

as on the reply the AO will cross check with the statement . the assesee provide. if source is not tax paid or included in basic exemption, then it would come under evasion.