professional tax for doctors?

Bunty (personal) (61 Points)

11 March 2011  

My friend has started his clinic 2 years ago. But his income was not taxable in first year and this FY it becomes taxable. He contacted some CA and he asked him lot of documents for filing a tax. He asked to pay professional tax to him and also said that for first year he needs to pay interest as well on the professional tax. is that true?

He also asked all kinds of banking transactions he has done in last 2 years with whatever new things like vehicle he purchased on his name? is this part of some kind of audit?

Should he provide all these documents to him?