If am unable to show the source of income to ito what happen

If U don't give or show the sources of income and no proper explaination is given for the same, then AO can levy straight way 30% ot IT + EC & SHEC on such unexplained income.

Dear Sir,

I am very thankful to you for your guidance. Sir some  more quetion:

1) I have franchisee of a share company and earn about Rs.100000/- as commission and form 16A is already received. All in records. (From Dec 2011 to Mar 2012)

2) Tution income about Rs.86000/- (From June 2011 to Dec 2012), BUT NO ACCOUNTS MANTAIN  and

3) Interest Income Rs.76000/- during the year from money lending, BUT NO ACCOUNTS MANTAIN.

Now I want to file my ITR how can I explain the Income from TUTION and INTEREST.

Please,Please guide me and oblise.

H S BAGGA

Hi Hukam Singh,

1) if commission on franchiseeof share company is received on regular basis then such commission also is professional income

2) Proportionate tution fees (June,11 to March, 12) should be shown as professional income

3) with regard Interest on money lending business, there should be some supporting documents like name of the loanee, amount and rate of interest etc should be within the permissible terms as per law. Interest income should be shown undet Income from Other Sources.

Based on facts and figures given by U, there is no necessary  to maintain books of accounts as the  professional income is below the maximum limit specified under IT Act.

U need to file ITR-4 since the tution fees and commisssion income falls under professional income.

Dear Sir,

Thanks a lot for your guidance.

H S BAGGA 

It will be deemed as undisclosed money/black money and ITO may impose penalty upto 30% upop multiplier by 3 of undisclosed/black money.

If the money has been founded black money ITO may intimate DIR for taking appropriate action.

Regards,

RAJESH CHOUDHARY