Скачать или смотреть Sec 269SS Income tax

Sections 269SS and 269T have been discussed in this article and this deals with cash payment and repayment of loans and deposits. Both the sections were introduced to curb the black money. Tax evasion is one of the serious problems in India causing economic disparities. False cash transactions give birth to unaccounted money which in turn increases tax evasion.

What is Section 269SS?

A person cannot accept loan or deposit or any other specified sum (specified sum here refers to an advance or otherwise, in relation to the transfer of any immovable property) from another person otherwise than by an account payee cheque or account payee bank draft or use of electronic clearing system through a bank account or other specified manner, if –

Amount of loan or deposit or specified sum is Rs. 20,000 or more, or

For example, Rahul wants to take a loan of Rs 50,000 from Vineet, he cannot accept it in cash because it will violate Section 269SS as the amount is more than Rs 20,000.