Employer has asked
his functional/operational manager
to open Bank account in his (managers) name
to pay/reimburse him for various project expenses.
Though the Account opened is in managers name, he had used it only for office/project purpose. He has not used/transacted it for any personal transaction.
So, my Queries are:
1) Does this Manager has to consider this Account in filing Income Tax returns for Saving Bank Interest, etc?
2) Will he be answerable to ITdepartment if Employer is not considering this account in their books (not even for Audit)?
3) This account is helping him in smooth receipts(direct internet transfer in his account) from employers and better payment tracking to his vendors (all in cash, per day it may go beyond 20000 per day per head)
Please give suggestions.
CAclubindia
