Income Tax: A campaign is being run by the Income Tax Department against those who commit tax evasion or fraud. Let us tell you that the government is keeping an eye on your online transactions along with cash transactions. Especially the department is keeping a close eye on these five transactions…
Income Tax: The Income Tax Department is running a campaign against those involved in tax evasion or fraud. The government is also keeping an eye on your online transactions along with cash transactions. Due to your carelessness or mistake, the Income Tax Department can send you an immediate notice. In such a situation, you should avoid doing these five things.
Depositing cash in bank account-
According to the rules of the Central Board of Direct Taxes (CBDT), if a person deposits Rs 10 lakh or more in cash in a financial year, then its information is provided to the Income Tax Department. Even if the amount is deposited in more than one account of the person, the department gets information about the deposit of money due to having the same PAN and Aadhaar number. In such a situation, the Income Tax Department may ask you about the source of the money.
Depositing cash in fixed deposit-
If you deposit cash or account FD of more than Rs 10 lakh in a financial year, then the Income Tax Department can send you a notice on its deposit transaction and seek information about the source of income or money. Can take action if correct information is not given.
Purchase of shares, mutual funds, debentures or bonds-
Many people consider investing in shares, mutual funds, debentures or bonds as a good option. Such investments also develop the habit of saving money. But, if someone uses a large amount of cash to buy shares, mutual funds, debentures or bonds, then this information is given to the Income Tax Department. If any person makes a transaction of Rs 10 lakh or more in any such investment option, then its information is reported to the Income Tax Department.
Payment on credit card bill-
Use of credit cards has become common these days and sometimes users’ bills run into lakhs of rupees. But, if your monthly credit card bill is more than Rs 1 lakh and you want to pay it in cash, the Income Tax Department may still ask you about the source of your money. If you make a payment of Rs 10 lakh or more in a financial year through any means online or offline, the Income Tax Department may question you and what is the source of your money.
Property related transactions-
Real estate prices in cities and tier-II cities are very high, and large transactions are common. But, if you are making a cash transaction of Rs 30 lakh or more while buying a property, then be cautious with the Income Tax Department. The property registrar informs the Income Tax Department, who in turn may ask you about the source of the money.
