Cash payment of more than 2,00,000/- in one fy

This query is : Resolved

Dheeraj Bhai Audichya (Querist)
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16 May 2018 Dear all,

Please clarify the following-
1. If a retailer's sale to a particular party (SAY X) is rs. 5,00,000/- in one financial year but all the bills are below 2,00,000/-, what will be the scenario u/s 269ST.
2. Can Cash memo can be drawn over 10,000/-. For example X raises Cash memo for Rs. 56,000/- and receives cash in whole in a single shot. what will be the scenario?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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17 May 2018 1 As cash bill for purchase is below 2,00,000 269ST not attracted. Total cash sales in a year to a single party is 5 lacs only and sales in a time not exceeded 2 lacs.
2 Yes cash memo can be drawn over 10,000/- but not yo exceed 2 lacs.