Tds on unsecured loan
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
25 October 2016
Dear Sir
If we take unsecured loan in our personal account of about 20 lac without interest then in propritorship firm interest provision is mandatary or not. and if we paying him interest from his personal a/c then tds deduction is compulsory or not.
kindly suggest me.
If we take unsecured loan in our personal account of about 20 lac without interest then in propritorship firm interest provision is mandatary or not. and if we paying him interest from his personal a/c then tds deduction is compulsory or not.
kindly suggest me.
25 October 2016
As per me do not show it as a loan, coz, how a proprietor can take loan from his own proprietorship concern?? Its better to show it as drawings. But it is such a huge amount, so questions may arise from Department regarding such huge transaction. Look I'll suggest you to show it as drawings in multiple dates, instead of showing loan to proprietor.
25 October 2016
Sole proprietary business and owner are not separate under Income Tax Act. Question of loan / TDS does not arise.
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
- About TDS & Income Tax
- Under construction property in ITR
- Section 194JA & JB Income which ITR Form to use
- Scrutiny and reopening of past returns
- PPF interest-As Exempt Income disclosure
- Pass word to open justification report for Q1 for FY 2026-27
- Building tax payment deduction in rental Income
- Upload Level ValidationITR3Category of Defect B/D
- Booth for sales promotion
- Presumptive income under 2025 ACT
- GST ON TRAVELLING BILLS
- F & O PROFIT REPORTING FOR AY 2026-27
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- 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
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
