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Cash deposit above 10 lac

vinayak (accounts executive) (125 Points)

07 March 2015

Hello,

I read that "A Bank will inform Income tax department" if the agrregate cash deposits in savings bank is more than 10 lakhs in form of AIR.

So, what does this mean?

Does this mean that if i deposit more than 10 lakhs with cheques & Online transfer - Will the Bank report that to Incometax department?

Also, What does Aggregate Cash deposit mean?

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9 Replies

vijendar reddy (proprietor) (43 Points)
Replied 08 March 2015

Only case deposits

Swami Ayyappa Nuli (TAX ADVISOR & CONSULTANT AT G.S.T SUVIDHA CENTER) (1372 Points)
Replied 08 March 2015

Yes, as per Rule no.114E of Income tax rules, Every Banking company to which Banking Regulation Act,1949 applies shall report transactions where "AGGREGATE OF CASH DEPOSITS IN SAVINGS ACCOUNT MADE DURING FINANCIAL YEAR WITH THAT BANK BY A PERSON" in form no.61A- AIR(Annual Information Report) to CIB(Central Information Board) on or before 31st August, immediately following the financial year in which such transaction is recorded.

vinayak (accounts executive) (125 Points)
Replied 08 March 2015

Actually, my question is "What is CASH Deposits"?

Does it include

1) Online Transfer

2) Within branch transfer (From one RD account to SB Account and SB to RD)

3) Cheques/Demand Draft?

4) Withdrawal from FD and crediting it back to Saving Bank?

Does these come under Cash Deposits?

Can anyone clar

PRAVEEN KUMAR N (Professional) (50 Points)
Replied 08 March 2015

Whatever the form of deposits it will come under ceiling limit

SARAVANABABU P (MANAGER) (28 Points)
Replied 08 March 2015

Cash deposits means account credit through only cash remittances. it doesn't include any credit by transfer/rtgs or neft/ deposits closings etc.,

J. K. Ratan (Compliance Advisor) (794 Points)
Replied 09 March 2015

Agree With Saravanababu

Cash deposits means account credit through only Hard cash Deposited in Bank

KANAKAMAHALAKSHMI Y (PARTNER) (42 Points)
Replied 09 March 2015

Yes it is actual hard cash deposited into the bank

mayur vij (article assistant) (34 Points)
Replied 06 July 2016

a person receivd a notice for deposting cash execeeding 10 lacs Rs. He is goldsmith and he did not file return for any A.Y. how can he deal with this situation?

Rahul Gour (student) (22 Points)
Replied 14 November 2018

Originally posted by : mayur vij
	a person receivd a notice for deposting cash execeeding 10 lacs Rs. He is goldsmith and he did not file return for any A.Y. how can he deal with this situation?