Umesh Sharma (student) (350 Points)
19 April 2017ON OF OUR CLIENT IS IN MOBILE RECHARGE ,UTILITY PAYMENT(ELECTRICITY BILL AYMENT,INSURANCE PAYMENT) AND OTHER CONSUMER RELATED SERVICES WHICH ARE WHOLLY DEPEND ON CASH
BUT DUE TO INSETION OF SECTION 269ST DEPOSIT OF CASH LIMIT HIS BUSINESS EFFECTED
HE RECEIVED MONEY FROM DIFFERENT RETAILERS AND DEPOSIT THE MONEY INTO HIS ACCOUNT TO PROVIDE SERVICES TO CUSTOMER
IS THEIR ANY SOLUTION FOR THE BUSINESS ENTITIES LIKE I MENTIONED ABOVE
UMESH SHARMA
9990377732
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177896 Points)
Replied 19 April 2017
That is the main cause of insertation of Section 269ST.
Go digital. Forget cash transaction. Initially it may hurt, but we are well-versed in getting adjusted in any circumstances.
Otherwise also 2 lakhs per day per person; means for roughly 10 such customers for 300 days amounts to 60 Cr. Such a big transaction in cash allowed!!! While there is audit limit of just 1 Cr. u/s. 44AB.
Meet Mody
(Student)
(112 Points)
Replied 04 April 2018
Sir, can the violation of the section be escaped if such retailers directly deposit cash in our account, since in this case the receiver will be a bank (although the beneficiary is the same) and banking instituitions are not covered under this section?
Thanks in advance
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177896 Points)
Replied 04 April 2018
Bank is just an agent, to collect sum in your favor and credit to your account. Amount is actually received by you.
CAclubindia
