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

Dispute over disallowed commission paid to HUF by ITO; TDS deducted and confirmed in tax return. Need resolution advice. A query was raised regarding the disallowance of commission paid to a Hindu Undivided Family (HUF) by the Income Tax Officer (ITO). The individual, operating as a proprietorship, recorded the sale and purchase transactions in the stock register and deducted Tax Deducted at Source (TDS) on the commission. The receiving party confirmed the commission in their income tax return. The query seeks advice on how to address the disallowance issue by the ITO.