Old amount received

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

04 October 2012 Dear Sir,

i have received a sum of Rs. 25,00,000/- by cheque, in Sep 2012 in my individual file, which was given by me to my friend in 25th January 2000 no documentary evidence available.

Now What Kind of Document taken by me from my friend regarding this payment?
What kind of Document asked by AO if my case selected for scrutiny?

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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04 October 2012 Is you treated as sundry debtors in your books at the time of payment.

OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

04 October 2012 Dear Sir,

I have taken the confirmation of Accounts of last ten Year from him, also he has signed a covering letter, Further its a case of individual so i am not maintain my books, but a proprietorship transpotation in the name of DNK Lorry Services, audited annual basis last four years which was started from 2008.

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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05 October 2012 In such audited reports is it consider as sundry debtors.

OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

12 October 2012 is Proprietor Ship Firm audit treated as individual audit ( Firm A/c & individual A/c are different)

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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12 October 2012 Event though firm a/c & Individual a/c are different for the purpose of income tax you have consolidate both the financial statements and such consolidated financial statements has to fill in return. Then all the individual transactions also considerable.

OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

12 October 2012 is confirmation of account & covering Letter are sufficiant for this transection

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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12 October 2012 It is sufficient but before going to it first we have to decide how it would be treat in our accounts/books. In case you previously treated/recognaised it as debtors then no problem no you will credit it to such debtor account and account will be close. In case you not showed it in your accounts it would be treat by the IT Department as income diverted or funds diverted. For that purpose i asking you what is your previous treatment or recognaisation in your books.

OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

13 October 2012 In debtor list this person is not show in our books, because business has been started in 2008, & this person has received money from me in 2000.

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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13 October 2012 I.e in your individual account also it not appeared. Then problem will arise. Better to consult any CA. He will suggest you based on the available options and ways regarding the treatment of it.

OM SAI SRI SAI JAI JAI SAI

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