Notice from IT department for cash transaction 2016

Hi,

I think you should reply with B.6, because cash in hand as on 9th Nov, you have accumulated cash from cash sales less cash exp = "In Hand" and that had been deposited into bank.

But be remember your total cash in hand should be deposited in one time not again and again, 8th Nov onward you can transact with valid cash only.

With Regards,

Bablu Kumar Jha

If it is one time den you can say from cash sales 

If multiple times den saying cash from saving is the option nothing else

u have to show B.1Cash out of earlier income or Savings. soon Govt. declare legal tender of Rs.500/- & Rs.1000/-not valid you can not show it either sale orCash received from Un-Identifiable persons

MR. SANDEEP

it was not a income or savings, that was cash receipt, which was accumalated by daily cash sales before 9-11-2016.

that was cash on hand on 9-11-16.

accumulated  cash sales as on a date held in the form of  demonitised currencies and other currencies

How can u say cash sale before 09.11.2016.? If it is Cash sale, it must be in ur cash in hand a/c. u can not take any banned currency just on or after 09.11.2016 (since Mid night). In my openion it is not cash recd from un-identify person. it is only ur earlier sale receipts which was suppose to deposit before but ur client had not done.

YA, OFCOURSE IT WAS CASH ON HAND ON 9-11-16. BUT AS PER INCOME TAX GUIDELINE THAT COLOUNM OF "CASH OUT OF EARLIER SAVINGS OR INCOME"    FOR 31-3-16 CLOSING CASH ON HAND, WHEN AFTER IF YOUR BUSINESS HAS BEEN CLOSED  AND CLOSING CASH ON HAND ON 31-3-16 WAS NOT DEPOSITED IN BANK A/C TILL THE DATE 8-11-16, SO THAT U CAN SAY IT IS "CASH OUT OF EARLIER SAVINGS OR INCOME."

CHECK OUT THIS LINK  (SEE Q.16)

https://incometaxindiaefiling.gov.in/eFiling/Portal/StaticPDF/CashTransactions2016-FAQs.pdf

yes it  should be cash held out of earlier sales in the form of demonitised currencies.In some notics all deposits are included in the information supplied

That be said as Cash received  from EARLIER SALE RECEIPT, which you got from unidentifible person(person not having pan) which u has to deposit that demonitized currency on or before 31/12/2016.