Business transacted through saving account -- penalty ??

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Querist : Anonymous

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Querist : Anonymous (Querist)
20 November 2016 I am a sole proprietor and started a partnership with my friend on 8 aug 2014 .The firm pan card was delayed , i used my personal saving account to trade for 3 months . deposited cash and withdraw cash from my personal account. i am into trading of fruits and all business is done purely in cash.

i received notice for income tax for cash deposits more than 50 lac in my account.
can he fine me for using personal account for business in emergency ., do i have any remedy to escape

please help


21 November 2016 No fine can be imposed reply to the notice as stated by you in para 1 above.

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Querist : Anonymous

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Querist : Anonymous (Querist)
21 November 2016 Thank you sir . any case law or judgement or cbdt circular on this. It will be very helpful

21 November 2016 Bankers only freeze your savings ac operated for business CBDT will not do any thing.


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