Comment on Notice under Section 139(9)? - Possible reason
commented on
12 Feb 2014, 04:46 PM
Hello Nithin
First I would like to thank you for helping out so many people. You are doing a great job.
I am a CA Final student and I used to do trading in shares. I did a lot of research on filing return for F&O but no article is so clear and gives proper solution but your article is best among all. Many CA’s are not aware about this and I am in a big confusion now please help me out.
I filed my returns for F.Y. 11-12 showing my F&O loss as business loss (No account case). I also had other income. I got notice u/s 139(9) and the reason mentioned was
1. Where assessee furnish total of amount deducted in Sl.no.2,3,4 and 5 of Schedule BP should be
consistent with Total credits in the P and L Slno.5
2. Assessee entering negative amount in gross profit or net profit.
I filed a return in response to this notice in which I removed negative figure from 51(d) Net Profit. My loss was mentioned in Schedule BP.
After this I received a demand notice in which my Business loss i.e F&O loss was not considered against my other income. I filed Rectification Request stating my current year business loss was not considered.
I received a notice against this which says
THE ASSESSEE HAS NOT FILLED THE RELEVANT DETAILS, IN THE RESPECTIVE SHEDULES.
HOWEVER, IN SCH.PART – B – TI, THE ASSESSEE HAS CLAIMED SET OFF OF CURRENT YEAR LOSS. FOR EXAMPLE. IT IS SEEN THAT THE ASSESSEE HAS NOT
FILLED THE SCH. P & L, HOWEVER THERE IS A CLAIM OF CURRENT YEAR BUSINESS LOSS.
I am badly confused what should I do. Nowhere in IT notice anything like requirement of Audit is mentioned.
The question is can I fill up the details in schedule and again file a rectification request (as stated in notice) OR should I show loss u/s 44AD and get books audited.
Since its a case related to F.Y. 11-12 will I be charged any penalty for not getting books audited till now.
If there is any other solution please let me know.
This is such a pain for traders having small turnover and losses. We are suffering for no reason, despite having losses we are made to do all this.