income tax agency is now very cautious when it comes to cash transactions. The rules governing cash transfers for the general public have been tightened in recent years. Financial organisations now permit cash transactions up to a certain amount. The Income Tax Department may issue a notice to the offender in the event of a minor violation.
An individual may receive a notice from the Income Tax Department if they engage in high-value cash trades. Banks, mutual fund companies, brokerages, and property registrars are a few of the various businesses involved in cash-related transactions. To acquire the financial records of people who engage in high-value transactions but fail to disclose them on their tax returns, the Income Tax Department has agreements with numerous governmental organisations.
The managing director of a SEBI-registered income tax solution provider business listed the following as the top 5 cash transactions that could result in an income tax notice:
1] A bank FD cannot have cash assets worth more than Rs 10 lakh. Banks are required to disclose if a customer’s individual deposits in one or more fixed deposits exceed the established maximum, according to a Central Board of Direct Taxes (CBDT) announcement.
2] Deposits into bank savings accounts are limited to a maximum of Rs 10 lakh in currency. The income tax department may issue an income tax notice to a savings account holder who puts in more than Rs 10 lakh for a fiscal year. In the meantime, any cash deposits or withdrawals from a bank account that exceed the Rs 10,000 threshold in a fiscal year must be reported to the tax officials. The limit for current accounts is 50 lakh rupees.
3] Per CBDT regulations, payments of Rs one lakh or more made in cash against credit card bills must be submitted to the income tax division. Additionally, if a payment of at least Rs 10 lakh is made to clear off credit card debt in a fiscal year, the payment must be disclosed.
4] The sale or purchase of real estate property: The property registrar is required to notify the tax authorities of any investment in or sale of real estate worth at least Rs 30 lakh. Taxpayers are advised to record their cash transactions in Form 26AS when buying or selling real estate because the property registrar will undoubtedly report it.
5] Investment in shares, mutual funds, debentures, and bonds: Investors must make sure that their cash transactions in these investments do not surpass Rs 10 lakh in a fiscal year. To track taxpayers’ high-value cash transactions, the income tax agency has developed an Annual Information Return (AIR) statement of financial activities. Tax authorities will collect information.
What kind of a madness & racket is this,even a 10000 rupees deposit also should be reported to “cbitd”?. Even a tea maker, a barber in india nowadays earns a minimum 20000 rupees month. Would he not go to deposit at least 10000 a month for his future, if his family members share the family expenses.why this data is required to be reported ,or required as if this is the only thing that is causing a great loss to the revenues,when so much black money is rolling & corruption is prevailing in the country.simply trying to harass the commoners when high end corporates & beurocracy are spared without touching a finger on them.do understand where is govt leading to in sqeezing the ordinary man;does govt does not realze that they lose ,& have lost a lot by lending money from banks & other financial corporation s to uncredit worthy businessmen & waived off almost half of them.should go and catch them & their cronies who are all kept in higher positions first….
Income Tax dept. should behave more maturely. Here ache Din dispensation MLAs have been purchased by giving cash. KSDL chairman has cash of more than 8 crores in cash. Income tax
Dept. should be abolished as they are not good in their job but good in witch hunting. Honest business people should earn and lead a decent life leading decent life is for thieves,rowdy sheeters, mobsters and political goonda.
This is called achaa din anewala, instead of doing like this they can directly beg.As a income tax payer still I didn’t get permanent electricity not whitepatch road to my house and Street where these amounts are dumping can FM or PM can explain? What ever we save as pf amount from our salar while withdrawal the pf amount we have to pay tax, wherever you see govt is killing upper middle class people by the way of tax if we are unemployed will the govt pays or recommend banks to pay loan?
SIR , THIS SHOULD BE DONE SO TIGHTLY AND IN A PROPER WAY SO THAT THERE SHOULD NOT BE ANY CONFUSION BETWEEN THE FILINGS INFORMATION RELATED TO FDR’S , MSI(MAIN SOURCE OF INCOME) AND SO ON WITH BEHALF OF FILINGS OF ITR’S IN ITD OFFICES, I M FEELING GLAD THAT THESE APPS AND HELPINGS HAVE BEEN PROVIDED BY ITD (INCOME TAX DEPARTMENT) SO THAT ITS VERY EASY TO FILE ITRS AND ALL TAX RELATED INFORMATION IN A VERY EASY WAY WHICH IS ONLINE AND IT FURTHER ALSO BECOMES HELPFULL FOR ITDS TO TRACK DOWN EACH AND EVERY INFORMATION WHETHER ITS MAJOR OR MINOR VERY EASILY IN JUST FEW MINUTES,
LASTLY I WOULD LIKE TO SIGNOFF BY GIVING DISCLOSURE TO MY WORDS
& A RESPECTED SALUTE TO THOSE HARD WORKERS WHO WORKS IN A KIND WAY TO RESOLVE EACH AND EVERY PROBLEM WITH CONSUMER’S REGARDING THERE DOUGHTS AND THUS HELPS THEM AS IN BEST POSSIBLE WAY IN THIER CRUCIAL TIMES❤️🙏💮🍁
JAI HIND , JAI JAWAN , JAI KISAN
⚔️🇮🇳💐🙏
Great move. Charity should start at home. There should be a default raid and search on all IT officials, bureaucrats, ministers and corporates first before applying these rules on common man. Let all those reports be published to gain confidence of common man that this govt means business and all fo those holding high offices are pure souls with blemishless character. I sense the age of Aquarius is round the corner. LOL..
The news media reports huge cash amounts seized in Income Tax raids.
How did these offenders manage to gather tens of crores in CASH without being detected. The IT Dept. needs to answer.
But is this only for cash? What about cheque transaction?