Winning Bizness Desk

Mumbai. Big investigative agencies like Income Tax, ED and CBI have raided many places in the past, and recovered cash worth crores of rupees from people's homes. In a major action 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 before this as well. In such a situation, the question arises that how much cash can a common man keep in his house? With how much cash kept in your house are you safe and not afraid of any investigative agency? Today we are going to tell about this in detail.

You will have to tell the source

According to the rules of the Income Tax Department, 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 legitimately and have complete documents for it or have filed income tax return, then there is no need to panic. But if you are unable to tell the source, then the agency will take its own action.

Don't accept more than 20k

Prohibition of taking and repaying loan in Cash Provision: Section 269SS of the Income Tax Act prohibits any person from taking or accepting from any other person any loan or deposit or any specified sum (advance for transfer of immovable property) of Rs 20,000 or more in cash. Similarly as per Section 269T of the Income Tax Act, no person shall repay any loan or deposit or specified sum of Rs.20,000 or more in cash. However these provisions are subject to some exceptions. If any person disobeys these provisions then he shall be liable to a penalty of 100% of such amount. (Section 271D and 271E)