Dear Sir/Mam,
Can a person covered under audit make a payment to NBFC in Cash.
please resolve the query along with section for reference.
What is its implication in 3CD Form.
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Payment in Cash to NBFC
Replies (2)
As per section 269ST, any payment made by a person to NBFC in excess of Rs. 200,000 in a single transaction (here single transaction constitutes 1 single payment of EMI) in cash is prohibited in order to promote the digital economy. Further, on violation of the provisions, the penalty shall be imposed on the concerned person u/s 271DA of the Act of sum equal to the amount received from the NBFC And the penalty is imposed only by the Joint Commissioner of Income-tax. Provided that no penalty shall be imposed if such person proves that there was good and different reason for the contravention. So, if the payment is within the threshold of Rs. 200,000 then penal provisions would not be applicable.
It is in the case of NBFC.. i am asking regarding the taxpayer
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