Hi there, I have a very small business of shoes and i have 7 employees to whom i pay 225000 two lac twenty five thousand every month, i borrow money from my relatives and friends and spend all the amount in promotion of shoes (still paying this much of amount in expections to make it a big brand) and the way i spend money is simple- i send my employees to do road show kinda things and to make them promote it through roadside canop (small counter on roadside) that is the reason i do not have any income proof, if any one from income tax department asks for this money then what should i say, and they will ask me to give them proper bills and others things to justify this spenditure, my relatives and friends do not allow me to disclose this to income tax department, can i tell them that i havent earn even a single penny till yet and spending by pl or some other way, plz help me by replying it plz plz. Thnx manoj but can i do it every month, like can i show them that i am receiving a gift every month, In addition to this My earnings are 15000*12= 180000.00 per annum and expenditures 225000*12= 2700000.00 per annum. In this situation can i show 8% presumtion profit, and if i do it how would i manage to show them the expenditures.
CAclubindia
