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Cash deposit above 10 lakhs

10 July 2021

I have deposited cash nore than 10 lakhs in a single account in parts. The funds are of my business, and I have already shown it in GST. What to do? Will I get penalty?

Actually due do some emergency of funds I have deposited it in savings account in place if current account

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4 Replies

Balamurali Unnithan MS (STUDENT) (1631 Points)
Replied 10 July 2021

In Which Account? Current or Savings?

If CA, the Yearly limit is 50 Lakhs and In Savings Account Limit is 10 Lakhs.

Crossing the limit, Banks must report to the Income Tax Department.

But already shown in GST have a not effective measure, You must disclose the same in Income Tax Return.

Then no offence at all.

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veerendar singh (tax consultant) (3301 Points)
Replied 10 July 2021

If you are regularly filing true returns then there wont be any penalty

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Saumyadeep Banik (29 Points)
Replied 10 July 2021

Deposited in Savings account.

Actually I have a money transfer business and mistakenly deposited in Savings account. As the money deposited are collection from retailers and in this business we rotate money every day.

So what explaination I can give to income tax?