Regarding Asstt.

Sir due to oversight the assessee has not filed his income tax return for the year 2018-19 and the assessee has been deposited his sales in bank about Rs 70-00Lac.In this respect the department has been issued a notice under section 148(1)(A) and the assessee was filed an reply by. showing that the income of the assessee does not comes under the criteria of income tax and in this respect the department was issued notice under section 148,and in response to this notice assessee filed his return under section 44AD by showing profit more than 8%and now the case of the assessee has been fixed for secrutiny under efaceless.and ask for details of expenditure,sundry creditors profit and loss account cash book bank account statement etc.Sir I want to know that in case filed the return under section 44AD and deposited the tax,cess,Intt comes on his income can the department demand the above said documents in respect of income tax return filed under section 44,AD Thanks
Replies (4)
Quick Summary
An assessee failed to file their income tax return for 2018-19, despite significant bank deposits. After receiving a notice under section 148(1)(A), they filed a return under section 44AD, declaring a profit exceeding 8%. The case is now under efaceless scrutiny, with the department requesting various financial documents. The query is whether the department can demand these documents when a return has already been filed under section 44AD and tax paid.

What's the turnover?
bifurcation of cash sales and credit sales is desirable.

Yes, as scrutiny process based on cash deposits had already been initiated, while you can reply based on your filed ITR.

Turnover was Rs,70-00Lac
Provisions are there for respective issues.
cash deposit for cash sales.

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