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Response to cash transacrion 2016

SHAMNHU NATH TRIVEDI (PARTNER) (156 Points)

05 February 2017

I have Used my Current Account For Depositing Tax of Client , I have Deposited SBN Rs 551000 Received as Under

For Depositing Taxes 434000 From 20 Client & 117000 as Audit Fee, Tax Actually been Deposited 10.11.2016 to 05-12-2016

Now How it Can be responded as No Such Column is seen in Response Option

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6 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160327 Points)
Replied 05 February 2017

You may choose

Cash received from identifiable persons (with PAN) option and in details give explaination as reimbursement from clients.

1 Like

naveen (M.COM, CA final) (40 Points)
Replied 09 February 2017

SIR

MY CLIENT DEPOSITE 850000 IN CURRENT ACCOUNT. HIS BUISNESS IS SEED AND PESTISIDES.

Now How it Can be responded

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160327 Points)
Replied 09 February 2017

Prepare cash flow statement as of 08/11/2016.

Segregate different sources of cash receipts based on cash sales with identified or non-identified persons with their amount, loans/any other kind receipts, cash out of savings and earnings, etc. and file details accordingly.

As per bank challans even differentiate the amount as per old demonetized notes and new currency, if any.

Be sure this may not be final, so do home work properly with accurate facts.

Pravin Mahadik (Practicing Cost Accountant) (78 Points)
Replied 10 February 2017

My client have cash balance of 15 lac in last year audited balance sheet and he deposited same in bank account. So how we can resond to Income tax

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160327 Points)
Replied 10 February 2017

@ Pravin Mahadik: Well, its good that the cash balance is reflecting in previous years BS, but cash balance in the books of accounts as of 08.11.2016, would be more important. If its nearly same, you can select first option :