https://www.taxtmi.com/circulars?id=4622 The circular clarifies that section 69D does not apply to certain Darshani hundi transactions where the hundi serves for remittance, settlement, or operates under an existing credit facility rather than creating a new debtor-creditor relation: (i) rakhya obtaining a hundi from a drawer in favour of a payee (including where a running/overdraft account exists); (ii) purchaser-seller hundis to pay for goods or settle accounts; and (iii) hundi-book drawals under an indigenous banker's credit facility. Other Darshani hundis require fact-specific examination for borrowal. en-us Mon, 06 Jun 1977 00:00:00 +0530 Thu, 31 Jul 2008 16:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=4622 The circular clarifies that section 69D does not apply to certain Darshani hundi transactions where the hundi serves for remittance, settlement, or operates under an existing credit facility rather than creating a new debtor-creditor relation: (i) rakhya obtaining a hundi from a drawer in favour of a payee (including where a running/overdraft account exists); (ii) purchaser-seller hundis to pay for goods or settle accounts; and (iii) hundi-book drawals under an indigenous banker's credit facility. Other Darshani hundis require fact-specific examination for borrowal. Circulars Income Tax Mon, 06 Jun 1977 00:00:00 +0530 https://www.taxtmi.com/circulars?id=4622