Sec 269st

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

22 March 2017 Dear Experts,
Pls clarify my following doubt relate to sec 269ST....1) can a person pay the amount of 4 Lakh through 2 cheque of two two lakh to single person... 2) can we deposite the cash more then 3 lakh in our bank account in single day....3) can we receive cash of 4 lakh in single day from two different person...4) can we receive the cheque of more then 3 lakh from one person?

Thanks & Regards
Mukesh Gupta

CA Gopal Somani

CA Gopal Somani (Expert)
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22 March 2017 269ST. No person shall receive an amount of three lakh rupees or more—
(a) in aggregate from a person in a day; or
(b) in respect of a single transaction; or
(c) in respect of transactions relating to one event or occasion from a person,

otherwise than by an account payee cheque or an account payee bank draft or use of electronic clearing system through a bank account:

The following restriction will not be applicable to government, any of the banking companies dealing in financial transactions, post office savings bank or co-operative bank.

Answer to your Qns -

1. Yes, It should be A/c payee cheques.
2. Yes, Banks are exempt.
3. If you are receiving cash less than 3 lakh each from 2 different persons then its fine.
4. Receiving cheques (A/c Payee) is fine.