PENALTY SECTION 271DA ON CASH RECEIPT –SEC. 269ST OF INCOME TAX ACT
Sec 269ST
provides- No person should receive Rs. 2 lacs or more in cash ( i.e over Rs.
199000) (a) on a day in aggregate from the same person (b) in respect of a
single transaction (c) in respect of transactions related to same event or
occasion from a person.
Penalty : Sec, 271DA . if a Person receives
any sum in contravention of the Provision of Section 269ST, he shall be Liable
to Penalty = Amount of such receipt.
Who will pay Penalty ?: Any such receiver getting cash.
Examples:
|
S.No. |
Situation |
Receiver contravening Sec 269T (Yes/No) |
Penalty
on receiver(s) under Sec 271DA (Rs)- Reason |
|
A |
|
||
|
1 a |
For SALE OF GOODS OR SERVICES: Jeweller sells goods worth Rs.
500000 to B as under against : a)
Bill No. 1 Rs. 150000 on 01.04.22 b)
Bill No. 3 Rs. 200000 on 05.4.22 c)
Bill No. 6 Rs. 50000 on 06.4.22 d)
Bill No. 8 Rs. 100000 on 10.4.22 but Jeweeller receives 500000
in cash against all 4 bills at different times on a single day ( 11.04.22). |
Yes |
500000 |
|
1.
b |
If in above situation S receives cash on those
4 days of the billings . |
Yes on 05.4.22 |
Rs. 2 lac ( exceeds Rs. 199999.99
on 05.04.22) |
|
2.
|
S sells goods worth Rs. 250000 against bill
No. 01 and also receives cash Rs.
250000 |
Yes |
250000 |
|
3.
|
S sells goods worth
Rs. 500000 Billed on 4.3.21 ( or for same Vehicle sold ) but received in cash as under: a) On Day 1 – 150000 on 10.5.22 b) On Day 2 – 250000 on 12.5.22 c) On Day 3 – 100000 on 14.5.22 |
Yes |
Rs. 5 lac (because
same bill or same car) |
|
4.
|
S engages
B for carrying following Party function: a) Decoration and lights– 150000 b) Food catering – 250000 c) Tent – 250000 d) Music – 100000 Pays entire amount in
cash at different dates each instalment being lower than 2 lakhs |
Yes |
Rs.750000 (since
the transactions relate to one event ) |
|
5.
|
S receives cash as under against : a) Bill No. 001 from A – 100000 b) Bill No. 002 From B – 150000 c) Bill No. 003 From C – 100000 Entire sum received on
the same day. |
No . |
Nil ( because not from
same customer ) |
|
6.
|
S sells goods worth
Rs. 300000 to C Ltd and collect cash under against single Purchase order
dated 4.4.21 but on different dates or
for same car sold : a) On Day 1
on Bill No. 1- 150000 b) On Day 2 on Bill No. 2- 150000 |
Yes |
RS. 300000 Receipt of
single Transaction/ single purchase order/ Same Car |
|
7.
|
S sells goods worth
Rs. 500000 to B- a) Against Bill No. 1 – 150000 on day
1 b) Against Bill No. 2 – 100000 on day
3 c) Against Bill No. 3 – 250000 on day
6 And collects entire on
same day say day 7 |
Yes |
Rs. 500000 |
|
8.
|
Car Owner receives
Cash Rs. 3 lac from Dealer for sale and Rs. 2 lac by cheque. Dealer Sells car for
Rs. 550000 in Cash. |
Yes |
Car owner Rs. 3 lac. Dealer Rs. 550000 |
|
9.
|
Of Dealer Rs. 4 lac in
cash and 1.5 lac by Bank trf/ account payee cheque in above case |
YES |
Rs.4 lac Penalty
on Dealer |
|
10. |
CASH
GIFT RECEIVED -A accept cash gift Rs. 250000 from his wife |
Yes |
Rs. 250000 Penalty on
husband |
|
11. |
TOUR ADVANCE: A gives Rs. 4 lac to B going on office
tour from Delhi to Chennai and
instructed to deliver the sum to C. |
Yes |
Rs. 4 lac *2 =800000 ( Both B and C
liable to pay penalty Rs 4 lac each) |
