Fixed deposit - rs. 15,00,000

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

08 August 2011 Hi experts,

One of my relative had deposited 15,00,000 into FD in Feb 2011, 10 lakhs in his name and 5 lakhs in his daughter name. He is filing his ITR for the first time. He also has income from House Property. 15 lakhs was out of his savings for these many years.

Where he needs to mention this in ITR. Is there an issue of scrutiny?.

Thanks
Karthik

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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08 August 2011 In ITR he has to furnish this information in Schedule AIR presuming the amount has routed through his Savings Account.

It will not be easily relied by the taxing authorities and inquiries are possible about the so called past savings.

The work must be assigned to a CA who can take care at a later stage of the case.

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Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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08 August 2011 U have to declare interest income and income from house property in the return form. The form prescribed is ITR-1 commonly called as 'SAHAJ' in which there is no column to show the amount of fixed deposit.
More over, the bank is not supposed to give details of fixed deposit to Income tax authorities through 'annual information report' since rule 114E of the IT Rules,1962 does not cover such an item to be reported for.

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Querist : Anonymous

Querist : Anonymous (Querist)

08 August 2011 thank u all for your valuable opinion and solution.

Karthik

Querist : Anonymous

Querist : Anonymous (Querist)

08 August 2011 @Mr. warrier,
Sir, Is the form prescribed ITR 1 or ITR 2, because in ITR 1 we cannot enclose house property income. Please advice

Thanks
Karthik

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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08 August 2011 In ITR-1, column B2 and work sheet-2 is to shown'income from house property' in case of one house property only. If there is more than one house property, ITR-2 is the prescribed form.

Querist : Anonymous

Querist : Anonymous (Querist)

10 August 2011 thank u for your valuable suggestions sir.

Thanks

Karthik

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