Hello Sir,

I am government employee (school teacher). In year 2013 i submitted rent receipt to claim HRA. Now there was an audit in my school last week and i was told that rent agreement was not submitted. So i have to pay income tax. Can you please help me what to do?

if a person has 5 shops and from 3 shops he receives rental income and 2 shops are vaccant , does deemed to be let out provision applies to him as it is a commercial shop? can we treat it as business income instead?

As per FA 2016.

Sec 44AD: Partners Salary and Interest on Capital not deductible from 8% of turnover in case of partnership Firm.

If a firm maintain proper Books of account and after charging remuneration and Interest on capital firm profit is less than 8% of Turn Over. Total TO of the Firm is less than 2 Crores.
Whether accounts( FY 201617) to be audited ?

let say I M/s Abc - earning commission from m/s xyz - foreign Company for supply of product x directly to M/s pqr - an Foreign Company. ( I go to many country and Book Order and many order received by mail )
so is it taxable under service tax

An assessee who has filed return for the AY 2013-14 and deposited more than 90% of tax as advance tax and accordingly interest under 234B was not charged at the time of filing of original return . Later on due to search this return is again assessed under section 153A and the original assessed tax is increase in the order under 153A , however the advance tax deposited is still more than 90% of assessed tax under 153A. whether assessee is liable to pay interest under section 234B(3) on the increased amount.

Dear Experts,

A service provider start his business in Sep 2016 and his turnover not exceed Rs.10.00 Lacs. Is he required to get Service tax registration.

If second and third year Turnover exceed Rs.10.00Lacs then he can Small service provider exemption?

Please clarify the same.

Thanks & Regards,

Moorthy A S

Hi,

I did not received form 16 for f.y. 2015-16 and my TDS is not deducted, So can I file ITR-1 for f.y 2015-16

Why Partnership between CA in practice and CA in service is not allowed?

Hi! I have a query in ICAI's PM on Chapter of Professional Ethics. The Question asked is:
"A practicing Chartered Accountant was appointed to represent a company before the tax authorities. He submitted on behalf of his clients certain information and explanations to the authorities, which were found to be false and misleading.Comment with reference to the Chartered Accountants Act, 1949 and schedules thereto."

Institute has given its suggested answer with reference to Clause (5) and (6) of Part I of Second Schedule as follows:
"As per Clause (5) of Part I of Second Schedule to the Chartered Accountant Act, 1949, if a member in practice fails to
disclose a material fact known to him which is not disclosed in a financial statement, but disclosure of which is necessary to make the financial statement not misleading, where he is concerned with that financial statement in a professional capacity, he will be held guilty under Clause (5).
As per Clause (6) of Part I of Second Schedule if he fails to report a material misstatement known to him to appear in a financial statement with which he is concerned in a professional capacity, he will be held guilty under Clause (6).
In given case, the Chartered Accountant had submitted the statements before the taxation authorities. These statements are based on the data provided by the management of the company. Although the statements prepared were based on incorrect facts and misleading, the Chartered Accountant had only submitted them acting on the
instructions of his client as his authorized representative.
Hence the Chartered Accountant would not be held liable for professional misconduct."
In my opinion, we cannot make a reference to Clause (5) and (6) since in the aforesaid question as CA is not at all expressing an opinion on Financial Statements. He is making a representation before IT Authorities. Hence, according to me, the answer should be:
Whenever a chartered accountant prepares any statement or return on behalf of his client for representation before the any authority, he prepares such statement or return only to the best of his knowledge and according to the information and explanations provided to him.
If any information or explanation is not provided to chartered accountant or is falsely provided to chartered accountant, then there is no further responsibility on part of chartered accountant, provided he has exercised reasonable care. But, if he has not exercised due diligence or reasonable care, then he shall be deemed to be guilty of professional misconduct under clause (7) of Part I of Second Schedule to Chartered Accountants Act, 1949.
Hence the Chartered Accountant would not be held liable for professional misconduct in the current case, assuming that he has exercised reasonable care and skill.
Kindly suggest whether ICAI's suggested answer is correct?

Shop rent cover in house property.
If yes how to calculate