News & Media 7th Feb 2022

A tax guru explains all that is wrong with Indian government’s latest requirement

Authors

Rahul Charkha Partner | Pune

Latest Thought Leadership

Alerts & Updates 13th Feb 2025

Private companies breathe easy temporarily on demat requirement | SEBI suggests easing RPT norms and secretarial compliance

Read More
Alerts & Updates 13th Feb 2025

CCI’s order against Goldman Sachs (India) Alternative Investment Management Private Limited under Section 43A of the Competition Act, 2002 – An Analysis

Read More
News & Media 13th Feb 2025

Retail fund schemes struggle to take off in GIFT City amid regulatory and tax hurdles

Read More
Alerts & Updates 13th Feb 2025

BIS Update: Compulsory use of Standard Mark for Stainless Steel Pipes and Tubes

Read More

Rahul Charkha, Partner, Economic Laws Practice (ELP) has been quoted in Business Insider India in their article titled ‘A tax guru explains all that is wrong with Indian government’s latest requirement for startups to disclose creditors’ source of income’.

 The Union Budget 2022 makes startups responsible for the source of income of their creditors. This means a startup would have to prove the genuineness and creditworthiness of the said creditor. To this extent, Rahul says, “Tax authorities are well within their right to treat the loans and borrowings as unexplained cash credits if one is unable to prove the source of income. It can then tax the same at 60% (plus surcharge and cess) without providing any benefit of basic exemption limit and slabs and would also attract penal consequences”.

 Read the comment and article: Click Here

Privacy Policy

As per the rules of the Bar Council of India, lawyers and law firms are not permitted to solicit work or advertise. By clicking on the "I Agree" button, you acknowledge and confirm that you are seeking information relating to Economic Laws Practice (ELP) of your own accord and there has been no advertisement, personal communication, solicitation, invitation or any other inducement of any sort whatsoever by or on behalf of ELP or any of its members to solicit any work through this website.