Cash Limit Home: These days big investigative agencies like Income Tax, ED, CBI are conducting raids. ED has conducted raids at many places recently. Where crores of rupees have been recovered. Taking a major action in West Bengal, ED has seized Rs 50 crore cash from Arpita Mukherjee’s flat.
In such a situation, the question arises that how much cash can a common man keep in his house? So that no action is taken against him. Therefore, this news can prove to be very important for you to answer such questions. According to the rules of the Income Tax Department, you can keep any amount of cash in your house. If he is caught by the investigating agency, then you will have to tell his source.
You have earned that money legitimately and there should be complete documents for that. On the other hand, if you have filed income tax return, then there is no need to panic. If you are not able to tell the source, then the investigating agencies will definitely take action.
Know what are the rules
It is important to tell the source of the money kept in the house. If you are not able to tell the source, then you can have to pay a fine of up to 137 percent. Transactions of more than Rs 20 lakh in cash in a financial year can attract a penalty. PAN number is mandatory for depositing or withdrawing cash above Rs 50,000 at a time.
If a person deposits Rs 20 lakh in cash in 1 year, then he will have to give details of PAN and Aadhaar. Failure to provide information about PAN and Aadhaar may result in a fine of up to Rs 20 lakh. You cannot make purchases in cash more than Rs 2 lakh. For purchases of more than Rs 2 lakh in cash, a copy of PAN and Aadhar card will have to be given.
A person can come on the radar of the investigating agency for the purchase and sale of properties in cash above Rs 30 lakh. During the payment of credit-debit card card, if a person pays more than one lakh rupees in one go, then there can be an investigation. Cash of more than Rs 2 lakh cannot be taken from relatives in a day. This has to be done through the bank. The limit for making donations in cash has been fixed at Rs 2,000. No person can take a loan of more than Rs 20,000 in cash from another person. TDS will be levied on cash withdrawal of more than Rs 2 crore from the bank.