The Income tax Act prohibits CASH transaction of Rs 20000 and more in two cases : While making business expenditure exceeding Rs 20,000 in CASH While receiving or repaying loan/deposit of Rs 20000 and more in CASH The first restriction is as per provision contained in Section 40A(3) which says that except in specific exception...
A.O Not Empowered to Issue Penalty Notice u/s 271D or 271E.
February 10, 2007 by
Advanced TopicOne of my assessees, because of certain business urgencies, accepted a loan in excess of Rs. 20000/- in cash from one known lady [ who is also not an income tax assessee so far] during the previous year 2005-06.Now the AO has issued one show cause notice u/s. 271D in this connection.Learned members may...
Monthly Subscription
Annual
Semi Annual Subscription
Quiz for CA/ICMA/CS Students