Income Tax rules for cash deposit and withdrawal, Don’t make this mistake even by mistake

0
39

If you deposit a large amount of cash in your bank account, then you need to keep some rules in mind. According to the rules of the Income Tax Department, there is a limit for depositing cash in the bank, after crossing which the Income Tax Department is informed. If you ignore these rules or deposit a large amount of cash without information, then you may get an income tax notice.

- Advertisement -
WhatsApp Channel Join Now
Telegram Group Join Now
Instagram Group Follow Now

On depositing more than 10 lakh cash

If you deposit more than Rs 10 lakh in cash in any bank account in a financial year, then the bank informs the Income Tax Department about it. Keep an eye on big transactions and show it in ITR.

Cash deposited in current account of more than 50 lakh rupees

If you deposit more than Rs 50 lakh in cash in a year in your current account, the bank informs the Income Tax Department about it. It is mandatory to follow this rule especially for businessmen and companies.

TDS on cash withdrawal of more than Rs 1 crore

If you withdraw more than Rs 1 crore in cash from any bank account in a financial year, TDS is applicable. Those making large cash withdrawals should keep this limit in mind.

Ban on cash transactions above Rs 2 lakh

There is a ban on cash transactions of more than Rs 2 lakh at a time, irrespective of the type of transaction. Violation of this rule can result in a notice and fine.

Deposit or withdrawal of more than Rs 50,000 without PAN

It is mandatory to provide PAN number while depositing or withdrawing cash more than Rs 50,000 from the bank. Notice may be received for large cash transactions done without PAN.

Related Articles:-

RBI releases 2024 list of Domestic Systemically Important Banks (D-SIBs)

DRDO Recruitment 2024: Govt Jobs Fellowship Without Written Test Salary One Lakh

IMD dense fog alert: Meteorological Department has today issued an alert of dense fog in 35 districts of this state

- Advertisement -