Cash Limit At Home: How much cash can you keep at home legally in India: These days raids are being conducted on cash kept in people’s homes. These raids are being conducted by the ED. When any person is unable to give correct information about the cash found at his house, then legal action is taken against him.
How much cash is too much at home: Big investigative agencies like Income Tax, ED, CBI have raided many places in the past and recovered cash worth crores of rupees from people’s homes. In a major crackdown in West Bengal, the Enforcement Directorate or ED seized Rs 50 crore in cash from Arpita Mukherjee’s flat. Similar action has been taken many times in the past as well.
How much cash can a common man keep in his house? How much cash is kept in your house, are you safe and not afraid of any investigative agency? Today we are going to tell about this in detail.
How much cash can you keep at home?
According to the rules of the Income Tax Department, you can keep any amount 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 or 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 action itself.
Get point wise here
- Failure to disclose the source of the money kept in the house can lead to a fine of up to 137 percent.
- Transactions in cash exceeding Rs 20 lakh in a financial year can attract penalty.
- According to the CBDT, it is necessary to provide PAN number for deposit or withdrawal of more than Rs 50,000 in one go.
- If a person deposits Rs 20 lakh in cash in a year, then he will have to give details of PAN and Aadhaar.
- Failure to provide PAN and Aadhaar details can result in a fine of up to Rs 20 lakh.
- Purchases cannot be made in cash above Rs 2 lakh.
- For cash purchases above Rs 2 lakh, copy of PAN and Aadhar card will be required.
- Any person can come under the radar of the investigating agency for the purchase and sale of cash assets of more than Rs 30 lakh.
- During the payment of credit-debit card, if a person pays more than one lakh rupees at a time, then there can be an investigation.
- Cash amount not exceeding Rs 2 lakh cannot be taken from relatives in a day. This has to be done through the bank.
- The limit for donating cash has been fixed at Rs 2,000.
- No person can take a cash loan of more than 20 thousand from any other person.
- TDS will be levied on cash withdrawal of more than Rs 2 crore from the bank.