Cash Limit at Home: By the way, it is very common to keep cash at home and most of the people definitely keep some cash at home for emergencies. But, do you know how much cash is the limit to be kept at home and what action can be taken if it is kept above it.
New Delhi. Everyone keeps cash or cash (Cash Limit at Home) at home for the need, because in an emergency it is not possible to withdraw money immediately from the bank or ATM. You also definitely keep some cash in your house, but do you know its limit. How much cash can you keep at home and what action can be taken by the Income Tax department if you keep more than that. We give you complete information about this.
By the way, no limit has been fixed for keeping cash in the house. According to the rules of Income Tax, you can keep any amount of cash in your house, but if it is caught by the investigating agency, then you will have to tell its source. If you have earned that money legally and have complete documents for it or have filed income tax return, then there is no need to panic. But if you are not able to tell the source, then the agency will take its own action.
Know when and how much the fine is imposed.
If you do not give the account of cash, then your problems may increase. If your house is raided by the Income Tax Department and a large amount of cash is recovered. Along with this, if you are not able to give correct information about that cash also, then you may have to pay a heavy fine. The amount of cash recovered from you can be taxed up to 137% of that amount. This means that the amount of cash kept with you will definitely go and you will have to pay 37% on top of that.
Keep these things in mind as well
Let us tell you that you will have to show the PAN card for withdrawal or deposit of more than Rs 50,000 in the bank at one go. At the time of purchase, payment of more than 2 lakhs cannot be made in the case. For this also you have to show PAN and Aadhaar. If you make a cash deposit of more than Rs 20 lakh in your bank account in a year, even then you will have to show PAN and Aadhaar in the bank.
