MSC1 (Director) 09 December 2010

Can an Advocate attend IT Scrutiny behalf of Client

Hi,

I am an Advocate & Tax Practitioner, I have a client & he is a salaried person, he got a Notice for U/s 142(1) 143(2) 143(3, due to his father death he couldn’t reply any notice.

He come to me through an Income Tax Inspector, I have attended one hearing with Asstt. Commissioner of Income Tax, and the ACIT showed me some notices, that the department has issued 13 Notice to my client, but my client says he has received only three out of thirteen, however the problem is the ACIT showed me a page (Notice) where the department required his share trading account detail for the same assessment year, and IT Department say my client has trading shares through India Bulls above three crores, (30000000) rupees, but my client is doesn't have any trading account with any one.

Now the question is what would i can take to defend the allegation against my client, before the department finalizes his assessment u/s 144.

Is there any problem if I become his L.A, (Later of Authority?) to answer commissioner allegation and producing those documents which my client has, & I have prepared.

One of I T O (Income Tax Officer) said not to be his L. A, according to him the client has already lost the case,

I am looking an advice from my Lawyersclubindia.com friends, that, can an Advocate (Tax Practitioner) attend the above case, if yes then specify me the section.

Your early response is appreciated.

Regards

MSC1

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10 Replies

R.Ramachandran (Advocate) 09 December 2010

Dear MSC1,

You say you are a tax practitioner. Please refer Section 288 (2)(iii).

MSC1 (Director) 09 December 2010

Yes Sir, I am very new to it, just recently i have taken the Bar Council Member Ship Membership,

I am really appreciate for your help

Regards

Narinder Gupta (Proprietor) 09 December 2010

Yes, of course you can represent the case of your client with valid power of attorney in your favour from your client

CA Narinder Gupta

MSC1 (Director) 09 December 2010

Thank u very much sir,

MSC1 (Director) 09 December 2010

Sir,

Is there any complications will be create against me if any thing wrong found against to the said person(my client) by Income Tax Department.

That ITO said don't be his L.A it may hamper your career,

Sir I am very new to it,

My client is ready to give me an affidavit, stating that there is no other transaction/activities in his name except those documents he provided to me for the IT Scrutiny work.

Please guide me sir.

Lakshmi Kant Gupta (Advocate) 11 December 2010

Being an advocate, you are fully empowered to represent your client case with the authority letter i.e. vakalatnama and when your client has signed the vakalatname in your favour, your act will beconsidered the act done by your client. So d'nt woory and represent your client case before the I. T. Officials.

MSC1 (Director) 11 December 2010

Thank you very much sir,

MSC1 (Director) 13 December 2010

Dear Experts, thanks for your valuable answers,

(VAKALATNAMA) is required or

POWER OF ATTORNEY on 20 court fees, will do?

Regards

MSC1

Rajesh Thakker (Advocate) 16 December 2010

Dear MSC1,

Only Vakilatnama required to attend on behalf of your client. Moreover, the Department got the information from the information was submitted by India Bulls, who are the share brokers under the AIR.

If your client is denying the facts, you must gone through the facts like bank accounts of your clients and statement of demat account which is in name of your client. 1st you ask the copy of account submitted in AIR by the broker and than after ask your client. If your client is true, than file and affidavit or present your client before the IT authority and give the statement u/s 131 of the Income-tax Act, 1961.

Wish you a best of luck for starting Income-tax practice and you have very intresting case. Work hard your name will become brighter if you plead the case in right direction.

Regads,

Rajesh Thakker