Celebrate Freedom and save 20% OFF on CAclubindia Pro Subscription! Use code: FREEDOM20

Cash Transactions between Partners and Partnership Firm

10 December 2021

In one of Firm there is cash transactions of More than 2 lacks in one financial year between a partner and partnership firm...... whether 269ST or any audit related disclosure is required as per Income Tax Act in Audit Report......

Reply
Follow
Share

6 Replies

Tanuj Chandra Saxenaa (Company Secretary) (7070 Points)
Replied 11 December 2021

Section 269st prohibits any person to receive an amount of Rs. 2 lakh and above in cash. Therefore disclosure is required as per IT Act in Audit Report.

Upgrade to CAclubindia Pro. Subscribe Now!

vaibhav shendure (24 Points)
Replied 11 December 2021

Is it per day per person or...... overall in one FY????

Tanuj Chandra Saxenaa (Company Secretary) (7070 Points)
Replied 11 December 2021

Section 269ST prohibits any person to receive an amount of Rs.2 lakh and above in cash: In aggregate from a person in a day, or In a single transaction, or In respect of transactions relating to one event or occasion from a person.

vaibhav shendure (24 Points)
Replied 11 December 2021

Is there any overall limit in one Financial year ......partner has made cash transactions below 2 lacks in single day but overall transaction is above 2 lacks???