25 January 2024
Dear Sir, I am associated with a Temple. My query is what is limit under Income Tax for acceptance of Donation by mode of Cash. Donation to Trust is not exempted u/s 80 G of Income Tax Act. Whether we can accept Donation by way of Cash up to 20000 without PAN and above 20000 with PAN ?
Our Consultant Says we should not accept Cash more then Rs. 2000/ . My understanding is the restriction is for donor and not to trust. TIll now if any devotee wish to give 5000 / we are insisting to pay ONLINE> Please guide what we should do as per INCOME Tax Act.
25 January 2024
You are right Rs 2000 is for donor restrictions. According to Section 269ST of the income tax act, no person shall receive an amount of rupees two lakh or more in cash mode.
CAclubindia
