Cash transactions

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

19 August 2011 Cash payment exceeding Rs30K is disallowed under Income Tax. Is there any provision for cash receipt exceeding Rs.30K?

CA Ashwani Agarwal

CA Ashwani Agarwal (Expert)
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19 August 2011 It i not Rs 30000 but Rs 20000. And secondly receipts are always taxable, whether 20000 or 2 crores, whether in cash or otherwise.

But if person paying you the said sum is claiming the same as an expenditure then he will not be allowed the deduction of the same.

Querist : Anonymous

Querist : Anonymous (Querist)

19 August 2011 Thanks for the information. Just to confirm the limit has been increased in the case of transporters to Rs.30k.

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CA Ashwani Agarwal

CA Ashwani Agarwal (Expert)
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19 August 2011 In case of transporters, it is Rs. 35000.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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19 August 2011 From 1.10.2009 the limit for payment to transporters has been increased from Rs 20000 to Rs. 35000/-.
So we can pay to Transporters, a sum in cash up to Rs 35000 in a single day.

Querist : Anonymous

Querist : Anonymous (Querist)

19 August 2011 Thnx to all for the information.