Taxation
yagnesh dave
(Querist) 04 December 2015
This query is : Resolved
I AM SELLING MY IMMOVABLE PROPERTY AT MARKET PRICE & ACCORDINGLY THE AGREEMENT IS MADE HOWEVER THE PURCHASE IS MAKING THE PAYMENT CONSIDERATION AS PER AGREEMENT IN CASH AND CHEQUE BOTH.
WHETHER THE SELLER CAN ACCEPT THE CASH FROM PURCHASER AS PER AGREEMENT WHETHER I.TAX LAWS PERMIT TO ACCEPT CASH FOR SELLER PL EXPLAIN
Ksreddyacs
(Expert) 05 December 2015
You can accept the cash.. but you have to pay the capital gains as per the Income tax Act,1961 for the sale consideration..Is cash amount also Mentioned in Agreement?..if So change the agreement for registration value and take remaining balance into cash without mentioning it into your sale deed if your buyer agrees.
Rajendra K Goyal
(Expert) 06 December 2015
Discuss and ascertain from local tax consultant regarding capital gains tax and other provisions.
K.S.Srinivas
(Expert) 10 December 2015
For any cash transaction, the limit is Rs.20,000/- per day under section 40A of Income Tax Act.
If any transaction needs to be done beyond Rs.20,000/-, it should by a mode of cheque or demand draft or fund transfer from bank accounts.
