Question ID :
40828
Income Tax Return of Stamp Seller
How to file income tax return of a stamp duty seller who's gross receipts from sale of Stamp is more then 1 cr and it's income is 1.5 percent of Stamp sale further he also deposited the cash in bank account of more then 10 lacs which is further transferred to govt account.
Is Gross receipts required to be shown in itr as receipt or only 1.5 percent is income and will be declared in itr.
Posted by
ANKUSH DUBEY
on
Sep 15, 2020
Filed Under
DIRECT TAXES
Answer ID :
80745
The stamp seller turnover is limited to the value of his commission part. The value of stamp paper doesnt get counted for the turnover calculation.
https://taxtitans.com/tax_questions_and_answers/what-is-the-limit-of-turnover-for-stamp-vendor-us-44ab/
Posted by
Ananthanarayanan on
Sep 16, 2020
Answer ID :
80747
Generally, stamp vendor purchases stamp paper from Government Treasury at discounted prize ,as determined by Government ,and sells to end users at face value. The difference, thus, he earns is 'discount' and not commission. In view of that, for the threshold limit of tax audit 'sales figure' has to be considered.
Posted by
B.CHACKRAPANI WARRIER on
Sep 16, 2020