Credit Card and Overdraft rotation

[sairamrahul]

Hi,

I have overdraft loan of rupees 35 lakhs, I generally rotate 10 lakh rupees for month, from my credit card to merchat and then to overdraft, Now my question is regarding income tax notice.. Since I am already paying intrest on over draft which is 1.10% per month, will there is a possibility that notice would be served? if yes can I defend by mentionog the tax is already paid for overdraft.

 

[zacobite]

Hi,

I have overdraft loan of rupees 35 lakhs, I generally rotate 10 lakh rupees for month, from my credit card to merchat and then to overdraft, Now my question is regarding income tax notice.. Since I am already paying intrest on over draft which is 1.10% per month, will there is a possibility that notice would be served? if yes can I defend by mentionog the tax is already paid for overdraft.

yes u can defend... if u have the account then no issues

 

[sairamrahul]

Sure Thank you for ur input