If a flat is sold for 38 lakhs but sale agreement is done for 20 lakhs and 20 lakhs sale proceeds is received through bank account
and the remaining amount of 18 lakhs is received in cash..
would there be any problem in this case from IT dept if the capital gains is calculated considering 20 lakhs only as Sale consideration?
As agreement is of Rs. 20 lakh and you received 20 lakh through Bank, than as per Income tax, Capital Gain also required to be calculated on 20 lakh or Stamp duty value of flat, whichever is higher. (Ignore that 18 lakh, for tax purposes keep in mind only that you sold flat for 20 lakh and received 20 lakh)
Remaining 18 lakh received in Cash is considered as unaccounted money ( in Lyman language, black money). You can not directly deposite this money in your Bank account, otherwise it's create problem in future from IT department.
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