27 August 2010
Sir, At the time of filing of Income Tax Return, there is no need of submission of Tax Audit Report along with the return. Only name and membership number of the C.A. is sufficient. Only at the time of securtny, the department call for the Audited balance Sheet along with Tax Audit Report. In this regard my query is that :
a) Suppose a C.A. disallowed some expenses or reports about unsecured loans etc.( i.e, qualifies his report). The assessee takes the taxaudit report from the C.A. and files his ITR from other advocate and not add backs the expenses, which is to be added back as per the tax audit report or submits forged tax audit report/balance sheet at the time of securtny.
How the department will come to know that the assessee has submited correct/forged balance sheet/tax audit report.
it means, if the department does not select the case for securtny, the govt. will suffer loss.
how, a C.A. can takes safe side, that the report submitted by the assessee is not forged one. only due to clients mistake, a C.A. has to face civil courts.
In my opinion there should be some change in this method. Opinion from maximum experts are required.
You have put a very good question. Income Tax Department is taking care of these things. Lots of Penalties, penal interests are there to prevent the assesses from resorting to these practices.
CA is on the safe side if he has the report carefully and given all the data as required
30 August 2010
Hi all, The correct procedure is to audit the clients records and prepare the report and then e-file the same with the help of the report. If the same is done there will not be any problem. I am practically following this procedure.
08 September 2010
IT IS BIG LAPSE ON THE PART OF I T DEPARTMENT IN CASE OF 44AB AUDIT CASES IN FILLING ITR 4/5.STRICTLY IT IS BETTER TO DO 44AB AUDITS OF HIS OWN ONLY.ITR 4/5 MUST BE CHANGED IN THIS ASPECT.
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