High Value Transactions and also worried about Income Tax Notices

HIGH VALUE TRANSACTIONS

Worried about Income Tax Notices????

Do you all know there are some transactions entered by us which are closely monitored by Income Tax Department . These transactions which are done in high denominations are called High Value Transactions . All banks, Financial Institutions , Credit card Companies, NBFC are required to report these transactions to the Govt in Annual Information Return (AIR) filed by them .

Here we are going to tell you some HighValue Transactions which are tracked by income Tax Department and due to which chances of getting notices from Department increases phenomenally.

1  Savings Account- Cash Deposits aggregating to   Rs 10 Lakh or more  yearly in single account.

2. Current Account -Cash Deposits aggregating to Rs 50 Lakhs in Your single  Current A/c .

3. FDR- If you have made  Fixed Deposits or Term Deposits of Rs 10 Lakhs or more during the year  through any mode whether it is cash or through banking channel then there are chances of getting    notice from department . This amount does not include renewed FDR.

4. Foreign Currency-  Any expenses in Foreign currency via debit card, credit card card or traveler's cheque for an amount exceeding Rs 10 Lakhs

5. DD/ Pay Orders- Payment in cash of Rs 10 Lakhs more for purchase of DD and Pay Orders .

6. Immovable Property- Purchase or Sale of any Immovable property of Rs 30 Lakhs or more .

7. Credit Card- Credit card payment aggregating Rs.2 Lakh or above in a year is also considered as high value transaction

8. Shares- A receipt of amount Rs.1 Lakh or above in a year for the purchase of shares issued by the company.

9. Bonds/ Debentures- A receipt of amount aggregating to Rs.5 Lakh or above in a year for the purchase of bonds, debentures.

10.Mutual Funds-  Receipt from any person of an amount of Rs. 2 Lakh or above for purchase of units of a Mutual Fund . 

Hence it is advisable to be very vigilant and cautious when you enter into above transactions . Every high value transaction is linked to your PAN Card and complete information is available in Part E of 26AS. 

Regards,
Team Palankarta
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