09 June 2012
Sir, while filing AIR of the bank, we are suppossed to check the cash deposited to the tune of Rs 10 Lacs or more by an account holder in a single account maintained by him with the bank or in the more than one accounts maintained by the accountholder with the separate branches of the same bank.
For instance if Mr A is having two savings accounts with two branches of a common bank and is depositing Rs 5 Lacs in each account. Whether his name shall be included in the AIR Reporting coz he has collectively deposited Rs 10 Lacs in the savings accounts maintained by him with the same bank though branches are different or will his name not be included because he has deposited Rs 5 Lacs in each account.
That is whether the reporting is account wise or bank wise....Please Elaborate.... Thanks in anticipation
10 June 2012
Reporting is assessee wise, If branch is filing AIR then it is branch wise and Bank is filing AIR in relation to all branches then it is Bank wise.
11 June 2012
(i) A banking company is required to submit AIR every year, stating “cash deposits aggregating to Rs.10 lacs or more in a year in any savings account of a person maintained by that bank”.
(ii) The prescribed Form No. 61A requires the bank to give information about the name and address of the depositor, his PAN, mode of deposit (i.e., cash), total amount deposited during the year and name and address of the branch of the bank where deposit is made. CBDT Circular No. 7/2005, dated 24-8-2005 clarifies that only the figure of all the cash deposits aggregating to Rs.10 lacs or more in the savings account of a person during the financial year is required to be reported as one transaction. In other words, the intention is to specify cash deposits of Rs.10 lacs or more during the financial year in any one savings account of the person. If the person has more than one savings account in any one branch of the bank or has such savings accounts in different branches of the same bank, and the aggregate of cash deposits in each such account is less than Rs.10 lacs, the bank is not required to report even if the aggregate in all accounts is Rs.10 lacs or more. If, however, cash deposits in any one savings account are Rs.10 lacs or more, the bank will have to report only that account with name of the branch in which such deposit is made.
(iii) It is significant to note that there is no requirement to report about the savings bank account number in which the cash deposits are Rs.10 lacs or more.
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