This is a query related to an Income tax case I received.The party is an NRI and he invests in each month towards a chitty as contribution from his dubai bank account as he work there and the chitty amount gets accrued in an chitty a/c gradually..He paid for 25 months as contribution ie 2 years and later the party fully withdrawn the chitty amount in his indian savings bank account..
Can we shown the amount which he paid as contribution from his dubai bank account as expense from the chitty income which is credited into his indian savings A/C as chitty income becomes taxable while credited to an indian bank a/c.
Can full contribution amount be set off with the full withdrawn amount as both figures are same..
CAclubindia
