I've taken loan at 0% interrest from my friend for the payment of the flat EMI. I've to return the amount within 5 years.
What documents should I get in case not to attract the tax man.
Menu
Loan from friend
Replies (3)
Dear Monu,
As I understood, you should collect only loan document. please write your problem in detail sothat i can help you. my email id is sachinagarwalcallb @ gmail.com
Monu, First you should take the loan either by A/c payee cheque or DD,
Secondly you should make a simple money bond on Rs 100/- stamp paper in your name for the formality purpose,
Thirdly your friend must have sufficient fund(accounted) for giving you the laon viz.. if he is a businessman he should account the same in Loans & deposits A/c etc.. Ofcourse he his SW Engineer or in such other professions then no such accounting is necessary..
If you have done all these then no need to worry about the IT guys..
Indu, Thanks for your advice.
Please suggest further can I make Simple Money Bond even if I got money from NRI friend through Western Union?
Recent Topic
- Input tax credit under igst under insurance compan
- ITR Form to be used
- CGAS account Holder Deceased
- ITR form suggestion
- Post office KVP income.
- Free GST invoice tool I built for my practice R
- Clarification on Gratuity Exemption under Section
- GOODS AND SERVICE TAX - GSTR 1
- Correct ITR form
- Clarification required on Section 393 & Report
Related Topics
CAclubindia
