As per Section 269SS no person can accept any loan or deposit or any specified sum of Rs 20000 or more otherwise than by way of an account payee cheque or an account payee draft or use of electronic clearing system through a bank account.
Also the section says that “the provisions of this section shall not apply to any loan or deposit or specified sum taken or accepted from, or any loan or deposit or specified sum taken or accepted by where the depositor and the acceptor are both having agricultural income and neither of them have any taxable income.”
My query is that : Can a farmer having agricultural income only repay the loan taken in cash which is exempted under section 269SS?
In short will 269T get attracted on repayment of loan in cash.?
CAclubindia
