AIS & Credit Card Usage Notice

[Lobogris]

Problem starts when I have 1/1000 of your income/net worth and try to spend and live life like yours...

I doubt it's that low or even lower at all!

 

[Lobogris]

That means your expense crossed ₹1 cr. If your expense doesn't match your income profile, it will be very difficult for you to justify the credit card bill payments. If someone thinks that expenses are meant for others and payments are made by others, it should be kept in mind that in that case purcahses by credit card may be treated for business purpose and the IT authorities may examine if business income/turnover has been shown in the ITR.

Why would it be difficult and why do I need to justify? There is no rule that one can't spend 1cr or 10 cr as long as you are filing commiserate income tax. No one has ever asked for any justification and most likely no one ever will.

 

[Lobogris]

True. If I were to be the IT Officer, I would ask for all those details.

Why? Just because the spends are high?

 

[Lobogris]

And his declared income is in the lines of several crores !! going by his posts for the last two years...

It's not that high, sir. I purchased a couple of properties and the registration fees plus TDS were around 50 lakhs and I used Biz Black by dividing it into a few months. In addition, I have to pay a lot of advance tax to the government and around 7 to 8 lakhs a year goes just for that on Biz Black. Infinia is used for travel and tickets, hotels and vouchers add up in addition to general spending.
Further, as you are aware, I had to pay a hospital bill where I had to deposit 10 lakhs and I swiped Infinia and Amex PT. It was later reimbursed by insurance thankfully.

 

[Robin_123]

Why would it be difficult and why do I need to justify? There is no rule that one can't spend 1cr or 10 cr as long as you are filing commiserate income tax. No one has ever asked for any justification and most likely no one ever will.

One can spend not only crores but billions also, but not more than his or her income. It is possible that no one has ever asked any justification, but it does not guarantee that no one will ask. Only filing ITRs doesn't justify that one can spend in crores, his capability of making expense can never be more than his income; unless or until he taken any loans, advances or gifts. At least the total expense / payments of credit card bill shall have to be taken as gross turnover of the financial if one's profession is business, that too when business is found to be existing, otherwise it will be impossible to justify the transactions.

 

[hender]

I doubt it's that low or even lower at all!

It's Sir.
It's even lower than that... Say 1/10000
Still if you like to see spending on CC, I will upload Publicly and Don't think it's a shame sharing that how less I spent on CC.

 

[tachniki]

One can spend not only crores but billions also, but not more than his or her income.

One can spend from his or her wealth, with zero income. 😁

 

[hender]

Yes, there is a problem. With BB and Infinia, you are underspending. Anything below INR 2.5 crore is an offence here. So notice will be issued for less spends.

In future IT department will issue notices if they found rich under-spending. For rich spending below 2 crore will invite 50% flat tax. 🤣

One can spend from his or her wealth, with zero income. 😁

Raja log ki barabari koi kar sakta hai kya

 

[350modena]

My HDFC Biz Black has already done over 70 lakhs this year. My Infinia has gone over 30 lakhs as well. What's the problem?

Bro, if you ever decide to write the story of you life, i would love to read! You seem to live a surreal life! Hats off!