Savings account may have to deposit more cash, know the rules

News India Live, Digital Desk: Economic Laws: Almost all of us have a saving account in the bank, which we use for our savings, salary or small transactions. But do you know that by depositing more cash in your own account, you can come in the eyes of the Income Tax Department and you can also get a huge notice?

Come, let us know what is the necessary rule related to cash transactions, which is very important for every account holder to know.

What is the rule of limit of 10 lakh rupees?

According to the rules of the Income Tax Department, if a person in one financial year (1 April to 31 March) in his saving accounts in total 10 lakh rupees or more cash If he deposits, the bank has to inform the Income Tax Department.

Why does notice come and what happens?

When this information from the bank reaches the Income Tax Department, the department wants to know where you came from such a large amount of cash. For this, the department sending you a notice of this money Source of Income Can ask.

• If the account is correct: If you have a complete account of this money (like you have sold a property, or it is your savings on which you pay tax), then you do not need to panic. You can easily escape by showing evidence.

• If you could not calculate: But, if you are not able to prove where this money has come from, then you can get into a lot of trouble. Income tax department considering it your undeclared income on you Heavy tax, fine and interest up to 60% Can apply

  
  

Not only savings account, they are also seen

This limit of Rs 10 lakh is not only on savings account, but also Current Accounts, Fixed Deposit (FD) deposit cash, or pay credit card bill in cash Also applies to.

What to do?

• Try to always do large transactions with digital methods (eg NEFT, RTGS, UPI, Check).

• If you are doing a big cash transaction, then keep its full record and evidence with you.

Remember, your savings account is for your convenience, do not make it a means of hiding black money, otherwise you may have to suffer big financial losses.

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