Stamp paper vendor

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2013 Dear Sir,
Treasury has issued certificate of commission accrued from selling of stamp papers and which is about 247000/-

while filing itr 4 I should mention Rs. 247000/- as his gross receipts
or
I should mention the whole value of stamp papers sold by him as gross receipts.

Guest

Guest (Expert)

07 August 2013 The whole value of stamp paper sold should be considered as gross receipts.

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2013 However, he has received stamp paper value on behalf of treasury as his agent.

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Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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07 August 2013 No agency. No commission. It is discount. Treasury is not supposed to deduct income tax also.

Citation :- Kerala State Stamp Vendors ... vs. Office Of The Accountant General ... (2006) 282 ITR 7 (Ker)

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2013 Suppose the vendor has sold stamp papers of 70 lacs and discount received is Rs 247000/- then he is liable to audit or not.

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2013 Suppose the vendor has sold stamp papers of 70 lacs and discount received is Rs 247000/- then he is liable to audit or not.

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2013 Suppose the vendor has sold stamp papers of 70 lacs and discount received is Rs 247000/- then he is liable to audit or not.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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07 August 2013 Yes because 44AD(5) says so.

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Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2013 suppose after deducting business expenditures from commission received, net profit comes below the exemption limit, even then the assessee is liable for audit?