UEGENT!show cause notice from the IT dept

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

09 December 2009 hi, i have just received an IT query regarding my fathers IT returns for 2006-2007. My father passed away in june 2008.

basically d letter says dat it needs a copy of the IT return filed and bank account statements for the given period.

It goes on to say the we are show caused to show why an amount of Rs.600,000 paid for purchases of mutual fund units and investments in shares worth 19,98,760 during the year shud not be treated as income from undisclosed sources and be added back to the taxable income?

It has also attached a copy for these share transactions.

I think my dad must have done some intra-day trading for a couple of days and that is what is showing up at 19,98,760.

how should i go about this?
is intraday trading liable for IT ?

please help

CA SURENDRA KUMAR RAKHECHA

CA SURENDRA KUMAR RAKHECHA (Expert)
Follow

09 December 2009 The facts of the case are not clear. Whether intra day results (i.e. profit or loss) has been shown in the return? If so; then the intra-day trading does not come under purview of sale-purchase as there is no delivery.

You should trust only what is there on the face of documents.

If you can prove the source of your investment and the transactions; you can answer to the show cause notice.

Services of expert are necessary. You should immediate contact a reputed Income Tax Expert otherwise you might be in trouble for certain lakhs of rupees demand from the income-tax department resulting into unnecessary litigation for years.

Ca Rakhecha
Surat

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Shakthi

CA Satyen Sharma

madhuseshu yathirajam

Soumitra Patra

Vinod Patil

Subscribe Now

UEGENT!show cause notice from the IT dept

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA