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Biggest tax evasion of it act 1961

Others 1917 views 3 replies

CA Hardik Bunha

self

2121 Points Posted on 16 November 2011

F.Y. 2006-07 In Loans and advances name of X shows by Rs. 5,00,000/-

After 4 Years(F.Y. 2010-11) capital gain arise Rs. 4,30,000/- (Assume after all calculation)

In that year i write off Mr. X's a/c as Mr. X is not eligible to pay my money.

So, Now Tax Treatment will be in LOSS (After set off u/s 70) Loss will be Rs. 70,000/-.

HEY MY FRIENDS ONLY EXPERTS WELCOME..........STUDENTS KEEP AWAY FROM THIS.

Replies (3)

ashish gupta

student

1922 Points Posted on 17 November 2011

Even if you write off the X's A/x the same will not be allowed as business expenditure so how can you set off the capital gain of Rs. 4,30,000/-.

Attention to the Section 36(1)(vii) and section 36(2).

CA Hardik Bunha

self

2121 Points Posted on 17 November 2011

i already write in my post that students keep away from this. Mere dost apko pata hi nahi chal raha hai question kya he isme business exp. ki bat hi nahi aati............samje muje nahi apko sections refer karne chahiye.

Vikas

1135 Points Posted on 18 November 2011

maaf karna sir..mai ab student to nahi par koshish kar raha hu...galti maaf karna... agar mai galat nahi to aap capital gain k samne business loss set off nahi kar sakte hai...aur jo loan/adv aap write off kar rahe hai wo business loss ko darshaega... aur yadi busi. nahi hai to bhi sale ya pur se related exp. hi ghata sakte hai...write off to bilkul bhi nahi...