Tax Audit - Section 269SS

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Under Sec. 269 SS it is written that the sec doesn't apply to loans or deposits taken from/ by Banking comp. or Govt.

 

My query is that does we need to show the particulars of loan, under tax audit report {under clause 24(a) (i) to (v)}, taken from Bank .

Replies (13)

 

24. (a) * Particulars of each loan or deposit in an amount
exceeding the limit specified in section 269SS taken or
accepted during the previous year :—
(i) name, address and permanent account number (if
available with the assessee) of the lender or
depositor;
(ii) amount of loan or deposit taken or accepted;
(iii) whether the loan or deposit was squared up during the
previous year;
(iv) maximum amount outstanding in the account at any
time during the previous year;
(v) whether the loan or deposit was taken or accepted
otherwise than by an account payee cheque or an
account payee bank draft.
*(These particulars need not be given in the case of a
Government company, a banking company or a
corporation established by a Central, State or Provincial
Act.)
Originally posted by : U S Sharma

 

24. (a) * Particulars of each loan or deposit in an amount

exceeding the limit specified in section 269SS taken or

accepted during the previous year :—

(i) name, address and permanent account number (if

available with the assessee) of the lender or

depositor;

(ii) amount of loan or deposit taken or accepted;

(iii) whether the loan or deposit was squared up during the

previous year;

(iv) maximum amount outstanding in the account at any

time during the previous year;

(v) whether the loan or deposit was taken or accepted

otherwise than by an account payee cheque or an

account payee bank draft.

*(These particulars need not be given in the case of a

Government company, a banking company or a

corporation established by a Central, State or Provincial

Act.)

So u mean to say that these particulars are not required to be given if the company has taken loan from Bank.

 

*(These particulars need not be given in the case of a
Government company, a banking company or a
corporation established by a Central, State or Provincial
Act.)
-------------------------------------------------------------------------------------------------
 
i guess its written in simple common english which is used for audit also :)
Originally posted by : U S Sharma
 
*(These particulars need not be given in the case of a
Government company, a banking company or a
corporation established by a Central, State or Provincial
Act.)
-------------------------------------------------------------------------------------------------
 
i guess its written in simple common english which is used for audit also 

Yes Sir, thanx for info.

Tthough it is written in common english but it is no where mention in the clause that these particulars are not to be given in case of:

(a) Tax Audit of Government company, a banking company or a corporation established by a Central, State or Provincial Act.

(b) Tax Audit of a Company/ firm/ individual who has taken loan from Government company, a banking company or a corporation established by a Central, State or Provincial Act.

its regarding furnishing of related data from whom the loans are obtained or balance is there in books and if these are obtained from such entities then no need to furnish the data, as these entities are eligible to transact such business in normal course ....

its not reflecting that you are auditing the govt or banks 

thanx for the info sir............

I COMPLTELY AGREE WIT SHARMA SIR ALL VIEWS.

Originally posted by : U S Sharma

its regarding furnishing of related data from whom the loans are obtained or balance is there in books and if these are obtained from such entities then no need to furnish the data, as these entities are eligible to transact such business in normal course ....

its not reflecting that you are auditing the govt or banks 
Originally posted by : TusharSSampatM.Com CA,CS-FINAL

I COMPLTELY AGREE WIT SHARMA SIR ALL VIEWS.

thanx to all for your views

My query is that:

If a person has already taken loan of rs 50,000 which is shown in previous year balance sheet and then again that person takes loan of Rs 70,000 in current year. Then, what amount will be shown in tax audit report u/s 269SS?

1,20,000 or 20,000 ?

Interest accred on Loans and Deposits reportable under section 269SS and 269T, whether to be taken in Tax Audit report under Loans Accepted during the year or some other presentation will take effect to increse the maximum outstandig amount during the year.

Please reply.

 

 

query is not  clear 

a)  if  loan  received in year which is to be reported subject  to it's  conditions, u/s  269SS  

b)  if  no  loan is  received  but only  interest  accured,  then there is no real  transaction in  cash  form.  mere  book  entry  does not invite these sections. 

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