Cash deposited in PPF Account

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A user asked whether cash received for religious teachings and directly deposited into a PPF account needs to be declared as income for tax returns. Experts confirmed that the income must be declared under 'Income from other sources' and the deposit can be claimed under Section 80C. While depositing directly into PPF is acceptable, the standard procedure is to first deposit into a savings account.

SHAHNH

SHAHNH (Querist)

22 June 2021 A women received payment in cash Rs. 50,000 for religious teachings which she directly deposited cash in PPF Account instead of depositing first in her savings account. Does she need to show in her Income while filing the returns? Thanks 🙏🏻

CA Raj Doshi

CA Raj Doshi (Expert)

23 June 2021 Irrespective of where she utilized, since the source of income is clear we have to offer for Tax purposes

SHAHNH

SHAHNH (Querist)

27 June 2021 Thanks. It means she has to reflect the Amount under Income from other sources while filing her return and also can claim under 80C. Please guide 🙏🏻

CA Raj Doshi

CA Raj Doshi (Expert)

27 June 2021 Right. Correct understanding.

SHAHNH

SHAHNH (Querist)

29 June 2021 Thanks a lot Raj ji🙏🏻

SHAHNH

SHAHNH (Querist)

03 July 2021 Sir! But the correct way is to first deposit the money in one’s savings account and then transferring it to PPF account... right

CA Raj Doshi

CA Raj Doshi (Expert)

03 July 2021 Direct way or indirect way.. both are correct.