Understanding the new Section 269ST of the Income Tax Act, 1961

INR 3 lakhs ceiling on cash transactions

In the Union Budget, 2017, Finance minister Mr. Arun Jaitley had emphasised the need to address black money formation and had proposed a ban on cash transactions over INR 3 lakhs.

To enforce this, a new section 269ST has been proposed in the Income-tax Act, 1961.

This new Section states that no person shall receive an amount of INR 3 lakhs or more from another person in a single day, for a single transaction, in any other form other than a cheque, bank draft or an electronic bank transfer.

It's only fair to share...
  •  
  •  
  •  
  •  
  •  
  •  
  •  
Read More →
Replies: 0

tax-penalty

The provisions of Section 115BBE of the Income Tax Act, 1961, applicable from A.Y. 2013-14 onwards is probably the section under which the Income Tax department would be taxing the unexplained cash deposits during the period upto 30th December 2016.

It's only fair to share...
  •  
  •  
  •  
  •  
  •  
  •  
  •  
Read More →
Replies: 1