COMMISION ON HUF

[akshay shah]

WE PAID COMMISION TO HUF PARTY, IN EARING ITO DISALLOW THE COMMISION OF HUF, WHEN WE ARE PROPRITER SHIP , WE ARE MENTION SALE PURCHSE RECORD WITH STOCK REGISTER AND WE DEDUCTED TDS ON COMMISION ON SALE AND PARTY ALSO CONFIRM THE RECEVING COMMISION AND SHOW IN HIS INCOME TAX RETUN, SO WHAT WE DO

AI Summary

Commission paid to HUF questioned after disallowance despite TDS, records, and recipient declaring income.
Whether a commission paid to HUF by a proprietorship is deductible where the assessing officer disallowed the commission despite the payer maintaining sale/purchase records, stock register entries, deducting TDS, and the HUF-recipient admitting receipt and declaring the commission in its income tax return.