09 November 2016
Dear Sir, I am a shopkeeper based in Delhi. I am selling sarees and dress materials. I have a daily estimated sale of about 250000 (Two lakh and fifty thousand only) mostly in cash. Ever since this notification of discontinuation of old 500 and 1000 notes we are experiencing a huge rush at our store. I want to confirm that as per the notification would I be able to deposit the current cash sale proceeds (in form of old notes) in our bank account till 30/12/2016 or not. As per our tax consultants we can deposit OHD notes in our bank account only if we are having cash in hand in our books prior to 08/11/2016; if there is any OHD cash generated post 08/11/2016 it won't be treated as legal tender and henceforth will be rejected from our books of accounts at the time of assessment. Kindly advise against the above query immediately and oblige. With best Regards Ashish Jain
Read more at: https://www.caclubindia.com/experts/ask_query.asp
09 November 2016
If you are able to justify your situation of cash sale for past reasonable amount of time, then you have a valid case to accept the OHD post 08/11/2016
CAclubindia
