Declare all gains arising out of the Liquid funds

Declare all gains arising out of the Liquid funds

Please make sure that you declare all short term and long term gains arising out of the Liquid funds and short time duration debt funds. Failure to do so would invite a scrutiny from income tax department.

It is possible that you might receive an income tax notice as following:

Section 131(1a) Where the assessing officer has reason to suspect that you have concealed income.

Section 133a which pertains to survey and scrutiny of your accounts.

Section 142 for scrutiny of Accounts and other documents that you attach with your return.

You can also receive a notice under 143(1) for Adjustment and Additional tax demand based upon error or incorrect information which is detected on the return filed by you.

Section 143(2) gives power to the assessing officer to do a regular assessment after conducting a detailed enquiry.

The assessing officer also has power to issue notice under section 148 when he believes that some income has escaped assessment

Finally section 156 deals with the Dues that is payable by the assessee. This could be Income tax, Interest,Penalties / Fine or any other amount as determined by the Assessing officer.

If you need help with preparation of your Tax Return or responding to any of these Income Tax notices then you may get in touch here - Appointment with CA.

The contents of this article are for information purposes only and do not constitute an advice or a legal opinion and are personal views of the author. It is based upon relevant law and/or facts available at that point of time and prepared with due accuracy & reliability. Readers are requested to check and refer relevant provisions of statute, latest judicial pronouncements, circulars, clarifications etc before acting on the basis of the above write up.  The possibility of other views on the subject matter cannot be ruled out. By the use of the said information, you agree that we are not responsible or liable in any manner for the authenticity, accuracy, completeness, errors or any kind of omissions in this piece of information for any action taken thereof. CA Mitesh and Associates is Mumbai's leading Cryptocurrency Taxation Firm which is committed to helping people navigate complex tax laws and banking regulations. Our main aim is to assist the individuals with applicable laws & regulations compliance and providing support at each & every level to make sure that they stay compliant and grow continuously. For any query, help or feedback you may get in touch here - Appointment with CA. Please note the all consultations with the CA are Paid consultations.

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