CASH RECD ON MARRIAGE OCCASION…FROM FRIENDS- OTHERS….DEPOSIT IN BANK A/C

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ATUL (Querist)
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01 December 2024 CASH RECD ON MARRIAGE OCCASION FROM FRIENDS & OTHERS
TO DEPOSIT IN ABNAK A/C

AMIT LIMIT TO DEPOSIT IN BANK A/C

TIME LIMIT TO DEOSIT AMT IN BANK

PRECAUTION TO TAKE

IF AMT EXCEEDS 50 LAC ????

ANY SUGGESTIONS ??????

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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02 December 2024 Keep records of the gifts received, including any written notes or cards that indicate they are gifts. This documentation can be useful if questioned by tax authorities. Whenever possible, encourage friends and family to send gifts via bank transfer instead of cash. This method provides a clear record of transactions and reduces the need for cash handling.
There is no specific time limit mandated for depositing cash received from friends and family; however, it is advisable to deposit the funds promptly to avoid issues related to cash handling and to keep your finances organized. the daily cash deposit limit is often set at ₹50,000 without requiring PAN details. If you exceed this amount, you must provide your PAN card. The annual limit for cash deposits in a Savings Account is ₹10 lakh. banks do not impose a strict limit on the amount you can deposit in your account. However, larger deposits (especially cash deposits above INR 10 lakh) may trigger certain reporting requirements under the Income Tax Act and Anti-Money Laundering (AML) guidelines.
You will need to be prepared to prove the source of these funds to the bank and tax authorities. Make sure to maintain a clear record of gifts, including gift letters from the people who gave the cash, and their relationship to the recipient.