Tax audit query
This query is : Resolved
24 May 2012
Where any amount withrawn from the special account is not utilised for the specified purposes within the same year or is misutilised as per section 33AB of income tax act, 1961. If so, report the amount of such deemed profits under clause 19 of Form No.3CD.
Why report under clause19? there is no deeming provision. if misutilised then it will be taxable so much amount misutilised. when there is a specified amount then why clause 19 reporting?
Thanks
Why report under clause19? there is no deeming provision. if misutilised then it will be taxable so much amount misutilised. when there is a specified amount then why clause 19 reporting?
Thanks
24 May 2012
Dear Riddhi,
As we know 33AB denotes Tea , Coffee and Rubber development account and for claiming deduction under respective sections entity as to deposit fixed % of profits to special account fixed by respective sections.
As per 33AB deposited amount should not for any purpose than which is mentioned in section and default in usage of amount results in violation of 33AB and amount of wrong usage will be taxed under section 41 of income tax.
Hence in 3CD report we need to report as clause 19 specifically requires it.
As we know 33AB denotes Tea , Coffee and Rubber development account and for claiming deduction under respective sections entity as to deposit fixed % of profits to special account fixed by respective sections.
As per 33AB deposited amount should not for any purpose than which is mentioned in section and default in usage of amount results in violation of 33AB and amount of wrong usage will be taxed under section 41 of income tax.
Hence in 3CD report we need to report as clause 19 specifically requires it.
24 May 2012
Dear Riddhi,
As we know 33AB denotes Tea , Coffee and Rubber development account and for claiming deduction under respective sections entity as to deposit fixed % of profits to special account fixed by respective sections.
As per 33AB deposited amount should not for any purpose than which is mentioned in section and default in usage of amount results in violation of 33AB and amount of wrong usage will be taxed under section 41 of income tax.
Hence in 3CD report we need to report as clause 19 specifically requires it.
As we know 33AB denotes Tea , Coffee and Rubber development account and for claiming deduction under respective sections entity as to deposit fixed % of profits to special account fixed by respective sections.
As per 33AB deposited amount should not for any purpose than which is mentioned in section and default in usage of amount results in violation of 33AB and amount of wrong usage will be taxed under section 41 of income tax.
Hence in 3CD report we need to report as clause 19 specifically requires it.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Post Office RD Interest
- Reporting Income under Section 44ADA
- Itr 1 processing
- Building and other construction workers welfare cess act 1996
- ITR validation error - Balance sheet is not filled
- ITR 1: Details for showing Exempt Income
- Bank Accounts in Balance Sheet for ITR 3
- TDS ON CASH WITHDRAWALS...
- Eway bill for machinery reparing
- Annual return of gst limit
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
