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Notice from income tax

CS Abhijeet soni Advocate (CS LLB MCOM MBA (FINANCE) MPHIL CA INTER PGDCA PGDA&PR ) (931 Points)

01 February 2014

respected sir i got a notice from the Income tax department compliance management cell regarding non filling of Income tax return for the Ay 2009-10 , 2010-11 and in this period the detect some share trading more than 20000/- from my accounts (Pan) in these year i have not any taxable income so I have not filled return . what should i do now please tell me. I have filed return 2011-12 ,2012-13 . please reply me and thanks for your co operation regards and thanks

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9 Replies

@*CS Siddharth Bumb. * (B.Com, CA Final, CS ) (5270 Points)
Replied 01 February 2014

Hello,

Just tell to Income tax officer that you did not had any taxable income in those years and specify the source of cash receipt of Rs 20000.. you can submit this by submitting letter...

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shikhar (LEARNER ) (1394 Points)
Replied 01 February 2014

Hello, friend

We also get same type of notices from income tax before. Dont wory just fill the details according to that letter. tell them your taxable income is bellow taxable limit.

Also mention your capital gain or capital loss from share trading in brief & post that letter to the concern authority.

Thanks

Shikhar

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Mihir (Wealth Manager) (5293 Points)
Replied 02 February 2014

CIB or Central Information Branch controls compliance management cell, who receives information on financial transactions from various financial intermediaries in the form of AIR or Annual Information Report. You may have to show documents to prove that your income was below taxable limit and investments made in share trading was from your own savings in the relevant year.

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CS Abhijeet soni Advocate (CS LLB MCOM MBA (FINANCE) MPHIL CA INTER PGDCA PGDA&PR ) (931 Points)
Replied 02 February 2014

can i file my return of ay 2009-10-11 now

CA. Raminder Dhiman (Educational Consultancy) (189 Points)
Replied 02 February 2014

Hello Mr. Soni,

You have done violation of Sec 139, thats No.1

Your are not covered by the exemption for filing of return as specified in Section 139(1C), since you have income under the head Capital Gain (from shares).

You can not file belated return since the time limit has expired.

But one thing is sure that you have to pay a penelty of Rs 10000 (Rs. 5000 for each default). Please you have to comply with the notice of the AO. Kindly read the notice carefully and see what they now requrie from you.

Hope this helps...

Thanks

Raminder

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JITENDRA (GOVT SERVANT) (25 Points)
Replied 02 February 2014

The Penalty for failure to furnish return of income is as under –

271F. If a person who is required to furnish a return of his income, as required

under sub-section (1) of section 139 or by the provisos to that sub-section,

fails to furnish such return before the end of the relevant assessment year, the

Assessing Officer may direct that such person shall pay, by way of penalty, a sum

of five thousand rupees.

Note the word – may direct. It means it is not mandatory. The assessing officer may waive it at his level, if you can give appropriate reasons in your support.

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CS Abhijeet soni Advocate (CS LLB MCOM MBA (FINANCE) MPHIL CA INTER PGDCA PGDA&PR ) (931 Points)
Replied 03 February 2014

respected sir Raminder Dhiman jee i have not the capital gain i invested Rs.40000/- and got loss of 100% in this condition , is there mandatory to file return.

thanks

Susan (Audit officer) (28 Points)
Replied 05 February 2014

The A.O can issue notice under section 148 and can examine the issue. The CIT has got powers to condone the delay occurred in filing the return.

Mihir (Wealth Manager) (5293 Points)
Replied 05 February 2014

One will have to read the notice carefully. Whether they are asking you to file the ITR or just informing you about it. If you had no tax payable for the relevant year, you may write a letter to your AO giving details of the income/investments/loss and justify that there is no tax payable for the relevant year. If they wish to see the ITR filed by you, then you may do so.