ITR
Business books asked for in scrutiny
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Facts
For business cases, the officer checks books of account, sales and purchase records, stock and bank reconciliation. Where books are required by law, not keeping them is a separate default.
Provisions and law
- Sec 44AA, Income-tax Act 1961 (now Sec 62, Income-tax Act 2025)Books of account must be kept where prescribed.
- Sec 142(1), Income-tax Act 1961 (now Sec 268(1), Income-tax Act 2025)Officer can require accounts and documents.
- Rule 6F, Income-tax Rules 1962 (now Rule 46, Income-tax Rules 2026)Lists the books professionals must maintain.
Analysis
Submit the ledger, sales and purchase registers, stock summary and bank reconciliation for the year. Reconcile turnover in books with GST returns and bank credits. Explain big expenses with bills. A one-page summary on top of the documents helps the officer follow.
Conclusion
- Export ledgers and registers to PDF.
- Prepare a reconciliation of books, GST and bank.
- Write a one-page summary of the business.
- Upload in parts within size limits.
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Scrutiny assessment, Sec 143(2) (now 270(8))
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