Fire your tax related queries and i would get it solved!!!

[niftygupshup]

See as a assessing IT officer you have nothing too loose even if you are wrong. So he can call for anything and accesee has everything to loose, his best out come is a headache and few work days last and few thousand spent on CA

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I understand this thats why posted.

Our govt, laws and rules has vested so much power (read discretionary power) in them (read govt employees who has direct contact with public particularly taxation department of all sorts), that for many of them (though there are honest officers also) their job has become a milking cow.

A wrong order passed by them (knowingly) in disguise of their discretionary power, means nothing but a daily routine work for them but for assessee, it means a lot, for pain, tension, money and time. It is said that one may go for appeal but, mere bhai, who is going to pay for it. None other than assessee. And the concerned officer will have a sadistic laugh on his face and nothing else, no action against him

 

[jain.er]

I understand this thats why posted.

Our govt, laws and rules has vested so much power (read discretionary power) in them (read govt employees who has direct contact with public particularly taxation department of all sorts), that for many of them (though there are honest officers also) their job has become a milking cow.

A wrong order passed by them (knowingly) in disguise of their discretionary power, means nothing but a daily routine work for them but for assessee, it means a lot, for pain, tension, money and time. It is said that one may go for appeal but, mere bhai, who is going to pay for it. None other than assessee. And the concerned officer will have a sadistic laugh on his face and nothing else, no action against him

That's why mere Bhai this country is called "HINDUSTAN" There no option for middle class person but keep getting milked in the form of taxes bribes fees...

Sent from my AO5510 using Tapatalk

 

[Smart_trade]

See as a assessing IT officer you have nothing too loose even if you are wrong. So he can call for anything and accesee has everything to loose, his best out come is a headache and few work days last and few thousand spent on CA

Sent from my AO5510 using Tapatalk

You are wrong. ITO does not have unlimited power to harass a tax payer...if he does wrong assessment and that gets reverted in the appeal either by IT Commissioner or Income Tax Appelete Tribunal he gets a negative mark and he is answerable for that.

If you are on sound footing, you can even challenge ITO to pass the order and telling him that you will go in appeal. I have done it myself in one case and the the assessment was done as insisted by me....so leave this fear of tax officials.If you are honest taxpayer you don't fear them, they may fear you if they make wrong assessments.

Problem with most is that they do chori and then the ITOs get a handle and then the assesses have to settle and fear the tax guys.

Smart_trade

 

[Bhairava]

I understand this thats why posted.

Our govt, laws and rules has vested so much power (read discretionary power) in them (read govt employees who has direct contact with public particularly taxation department of all sorts), that for many of them (though there are honest officers also) their job has become a milking cow.

A wrong order passed by them (knowingly) in disguise of their discretionary power, means nothing but a daily routine work for them but for assessee, it means a lot, for pain, tension, money and time. It is said that one may go for appeal but, mere bhai, who is going to pay for it. None other than assessee. And the concerned officer will have a sadistic laugh on his face and nothing else, no action against him

well said,but what can we do for that?
any small onion vendor make 5 lakhs yearly and pay no tax,no return,no audit.

 

[Bhairava]

You are wrong. ITO does not have unlimited power to harass a tax payer...if he does wrong assessment and that gets reverted in the appeal either by IT Commissioner or Income Tax Appelete Tribunal he gets a negative mark and he is answerable for that.

If you are on sound footing, you can even challenge ITO to pass the order and telling him that you will go in appeal. I have done it myself in one case and the the assessment was done as insisted by me....so leave this fear of tax officials.If you are honest taxpayer you don't fear them, they may fear you if they make wrong assessments.

Problem with most is that they do chori and then the ITOs get a handle and then the assesses have to settle and fear the tax guys.

Smart_trade

You are right Sir,but a small trader don't have dare to go through this process.He's not prepared mentally.
Appeal etc need a lot of money.People are fighting here for audit charges.Many of us are not willing to pay 15-20k to CA for auditing.
Appeal,hiring advocates,CA's etc will cost much more than this small audit charges.Thus many settle with bribe.

 

[nac]

Profit should be more than 8% of turnover

Here profit means Gross (Sales minus Purchase) or Net (gross profit - expenses - depreciation)?

 

[Bhairava]

Here profit means Gross (Sales minus Purchase) or Net (gross profit - expenses - depreciation)?

Gross Profit Only.Because in Net profit you will show it Zero.

 

[niftygupshup]

Here profit means Gross (Sales minus Purchase) or Net (gross profit - expenses - depreciation)?

It is net profit (NP) as per your profit and loss account (P & L account) after accounting for all expanses from gross profit (GP), for a business entity.
IMO, Gross profit has no standing for taxation purpose, unless proved otherwise (by adding false expanses, not related to business).

 

[nac]

Gross Profit Only.Because in Net profit you will show it Zero.

It is net profit (NP) as per your profit and loss account (P & L account) after accounting for all expanses from gross profit (GP), for a business entity.

Two different answers

@Bhairava,

If it's zero, not liable for tax audit and no worries.

 

[niftygupshup]

Two different answers

@Bhairava,

If it's zero, not liable for tax audit and no worries.

Ha ha
bahut confusion hai.

Dont know on what basis, Bhairava posted his comments
Though I am not from Commerce background, but I know that IT is taxed on net profit and not gross profit.