13 August 2012
As per the provision of section 269SS of the Income Tax Act, 1961 no person shall take loan or accept deposit in excess of Rs. 20000 other than by A/c payee cheque or A/c payee draft. Now my question is, suppose someone deposits in my bank a/c an amount of Rs. 21000 will the section apply in this case? will this section still apply when amount is deposited in the account through electronic transfer?
13 August 2012
Transfer of money exceeding Rs. 20000 by way of bank voucher instead of a/c payee cheque or draft doesnot attract penalty u/s 271D as the transaction are through banking channels only held in Asst. CIT v. Jag Vijay Auto Finance (p) Ltd.[2000] 68 TTJ (Jp) 44 if the transaction has been made through banking Channel,Sec 269SS will not be applicable in your case.
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