restriction on cash receipts

> No person shall receive Rs 2 lacs or more

1. in aggregate from a person in a day; or 
2. Per Transaction; or 
3. Per event/occasion from a person,  [other than by an A/c Payee Cheque/draft/ECS (Sec 269 ST)]

> Penalty at 100% of the amount involved

> Covers all cash receipts be it cash sales, advance for sales, lease  advance, etc. (Loans received are not covered since they are covered by Sec 269SS where restriction is up to Rs 20,000/- only )

> Following cash transactions amount to Violation of Sec 269ST attracting penalty –

> Following cash transactions amount to Violation of Sec 269ST attracting penalty –

1. Any cash is deposited directly into your bank accounts by others (including customers) of Rs.2 lakhs or more in a day or with respect to a single transaction or event or occasion would also amount to violation.

Posted by Accounting & Taxation at 11:51 PM

Labels: Income Tax