Cash payment limit in property in India: The Income Tax Department has made some rule or the other regarding every transaction. In such a situation, if you violate these rules, then you may have to face difficulties. Apart from this, you can also be sent a notice by the Income Tax Department. Because of this, you must know how much cash can be used while buying property. Know the complete details about this in the news.

Only this much amount can be recovered in cash-

For information, let us tell you that according to the rules of Income Tax (IT update), you cannot take more than Rs 19,999 in cash. For this, in 2015, changes were made in Section 269SS, 269T, 271D, and 271E of the Income Tax Act. Out of this, the change made in 269SS (IT Act 269SS kya h) is very important, which gives information about the penalty in such a situation. The government did this to stop black money. After transactions are done in cash, it becomes difficult to find out whether that cash (CAsh verification) has been earned legally or not.

Rules have been made under section 269SS-

Under section 269SS, if any person sells land (land buying rules) (even if it is being taken for farming), a house, or any other kind of immovable property, then in this situation that person (cash limit in India) cannot collect an amount of Rs 20,000 or more in cash. If a person violates the rules (IT New rules), then in such a situation a fine of 100 percent is imposed on him.

Know what is the 100 percent penalty-

Under Section 269SS of the Income Tax Act, if any person is taking 20 thousand or more rupees in cash (cash transaction rules) while selling the property (Property Selling rules), then that entire amount has to be paid as a penalty. That means whether you have taken 50,000 rupees or 1 lakh rupees, that entire amount goes to the Income Tax Department (IT department penalty) as a penalty.

Apart from this, this is also the rule-

Section 269T (Section 269T kya h) has also been made by the Income Tax Department. If such a deal is canceled for any reason, then in such a situation, if the buyer asks for the money back in cash from the property dealer or seller, once again a penalty is imposed. If an amount of Rs 20,000 or more is returned in cash (cash limit at home), then like 269SS, the entire amount goes into penalty. However, this law does not apply to the government, government company, banking company, or special person and institution (NBFC for loan) identified by the central government.

How to do property-related transactions-

In property deals, you can do cash transactions (Cash Transactions rules in India) only up to Rs 19999. This is clearly shown in your registry. You can do the amount above this through a cheque or electronic transaction (Internet banking). However, keep in mind that the registrar usually does not cancel the registry due to cash transactions for property, rather they will do the registry but will send the cash-related data to the Income Tax Department. After this, you may get into trouble.

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