can i deposit cash received in whole financial year in current account altogether in the month of march

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P Singh (Querist)
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26 February 2017 hi i am a small proprietor running a job work business. i have been running this business for last three years. but i did not open any current account. i just opened my current account this month. i wonder if i can deposit my cash received till now in this financial year in my current account?

CA Amrita Chattopadhyay

CA Amrita Chattopadhyay (Expert)
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28 February 2017 Yes you can deposit the cash with proper explanation and disclosures.

P Singh

P Singh (Querist)
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28 February 2017 thanks for the reply. actually someone told me that we cannot deposit cash relating to before 8th november because of demonetisation.

CA Amrita Chattopadhyay

CA Amrita Chattopadhyay (Expert)
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28 February 2017 Those requirements for the deposit of old Rs.500 and Rs.1000. RBI has further extended to March 2017. If you have old notes, deposit it with RBI.

Anand

Anand (Expert)
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01 March 2017 Please note that if you have old notes, you will be subjected to a lot of questioning regarding why they were not deposited in the intervening period of November 08th to December 30th 2016.
There will be a presumption of wrong doing and you will need to have valid reason as to why you didnt deposit old notes till now.

P Singh

P Singh (Querist)
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01 March 2017 actually i dont have old currency, the only concern is that i did not have a current account earlier that is why i did not deposit my cash for this financial year in bank account. so if i deposit cash for full financial year now in my new current account then will it be questioned?

CA Amrita Chattopadhyay

CA Amrita Chattopadhyay (Expert)
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02 March 2017 You can deposit the amount in the bank with proper explanation specifying the reason for the deposit. If you do bank transactions, you would also get many Income Tax benefits in the next year 2017-18.

P Singh

P Singh (Querist)
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02 March 2017 the only reason i have is that i did not have any current account earlier and i was not aware that propritorship company cash can also be deposited in savings account

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