Respected Sir, Please provide me your opinions: My Client is running a business of Tax Payment Services and engaged in consultancy business having a valid Trade License, my question is he is maintaining Current Account for transaction and he use to collect cash from different client and he paid the online tax on behalf of his client such as Income Tax, Service Tax & VAT Tax. Secondly accepting of Cash and making of online payment in favor of Direct Taxes and Indirect Taxes againt which he charges Rs. 50/- as tax payment charges for each transaction, is there any wrong in the above business, or is their any violation of provision of Income Tax or any other Law. Please advice me.
My client too takes Rs.1 Lakh or even more from his client and the same amount has been transfer to Government Exchequer in mode of Online Payment and he charges some amount for or each Transaction is there something wrong in eye of Income Tax or Service Tax taking of Cash more than Rs. 1 Lakh or more. Is there any violation of Law