Three Vital Duties of the assessee during Raids

 
  
March 6,2010


DUTIES OF ASSESSEE

Q. l Is the assessee expected to retain his bills for each item purchased?

A. No, neither that is required nor practicable, particularly
in relation to items of smaller value. It is, however,
essential that there should be adequate withdrawal to
cover the acquisition of the articles during the year or over
the years as the case may be. Even under the CCS (CCA)
Rules, a Government servant is supposed to intimate acquisition
of movable assets only if the value exceeds Rs. 5,000.
However, in case of valuable articles and things, it is
advisable to keep the bills.

Q. 2 What documents are necessary to be maintained in relation to the imported items?

Ans. If the imported items are brought by the assessee from
abroad, he should maintain its purchase voucher as well as
the customs receipt. In case of smaller items which are
covered by the exemption limit or as may be prevalent
at the relevant time, no such formality is necessary.

However, if these items are gifted by the friends visiting
from abroad, it may be necessary to keep the details of their
visiting from abroad, it may be necessary to keep the details
of their visits and a letter from them evidencing the fact of gift
as well as the payment of the customs duty supported by the
customs receipt unless they were minor items covered under
exemption limit. In case the imported items are purchased from
some other persons in India, it may be necessary to keep the
customs duty receipt evidencing the payment made by the
original purchaser and also in a letter or a sale memo evidencing the sale.

Q. 3 What evidence is needed to prove the wedding gifts?

A. Now under the Dowry Act, it is essential to prepare a
list of gifts of various articles received at the time of marriage.
This is to be signed by both the sides and copies are to be
exchanged. If this is done, it would be an useful evidence in
favour of the assessee. In other cases, one may follow the routine
of maintaining a list, to the extent possible, showing names of donors,
amounts or articles gifted. In the case of costly gifts, the donors
may be examined as to their source, etc.