If I received 3lac as advance from customer in a year but received less than 2lac in a day. So section 269ss is applicable or not?
Please reply expert. Thanks in advance
Replies (4)
Quick Summary
This discussion clarifies the applicability of Section 269SS regarding customer advances. If a total of 3 lakh was received as an advance from a customer over a year, but no single day's cash receipt exceeded 2 lakh, Section 269SS is generally not violated. However, if the 3 lakh pertains to a single transaction and was received in cash, even in instalments, Section 269ST might be breached. Receiving less than 2 lakh in cash on any given day, with the remainder through non-cash methods, avoids violation.