Loan borrowing

Sec 269SS defines the mode of accepting certain loans and deposits.

where as 271D states the penalty if certain loans and deposits is accepted in mode other than specified in Sec 269SS.

Basically Sec 269SS says Loans and deposit amounting more 20000 or should not be accepted in cash or bearer cheque. If assessee do so then he will be liable to penalty which is define in Sec 271D.