Can any one tell me how long is it mandatory to keep our books & vouchers in safety so that they can produced when a taxman demands?
For Instance:
In my firms balance sheet I have a loan which is being carried forward from FY 96-97. Can the taxman ask for proof of the way we got the loan I.e Cash/Cheque etc. My case is in scrutiny & I will shortly appear on the 1st date.
Hi..
As per sec 44AA of IT Act, books of account and documents have to be kept and maintained for a period of six years from the end of the relevant assessment year..
So, in ur case i guess the documentary proof of loan taken on F.Y. 1996-97 need not be kept, however if its a bank loan, thn of course thr won't be any question...
Dear Sunali,
It's not a bank loan. It was given by my mother to our firm. Though, she herself is a partner. My Tax Consultant (An Advocate) says that we will have to show documentary proof.
records upto six years are to be kept under income tax act.
& notice u/s 147 can be issued upto six years therefore ,no need to worry abt transactions taken beyoond six years span.
| Originally posted by :Abhishek Kumar | ||
| " | Dear Sunali, It's not a bank loan. It was given by my mother to our firm. Though, she herself is a partner. My Tax Consultant (An Advocate) says that we will have to show documentary proof. |
" |
| Originally posted by :Abhishek Kumar | ||
| " | Dear Sunali, It's not a bank loan. It was given by my mother to our firm. Though, she herself is a partner. My Tax Consultant (An Advocate) says that we will have to show documentary proof. |
" |
IN THIS ALSO YOU HAVE TO KEEP BOOKS OF ACCOUNT AND VOUCHERS UP TO SIX YEARS .
r u having Income Tax Scrutiny norms for the A.Y 2008-09 ?
ICAI prefers 8 years
CAclubindia
