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Planning to sell my house, buyer only giving cash for post registery amount.

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priyank rao

1 Points Posted on 17 September 2020

im planning to sell my house and from the proceeds of this house buy a new one. Now the buyer to this house is only paying in cash for post registery amount. How can i avoid penalty under 269ss?

Replies (5)

Quick Summary

A homeowner planning to sell their property is facing a challenge as the buyer is only offering cash for the post-registry amount. This raises concerns about potential penalties under Section 269SS, which restricts cash transactions over a certain limit. The consensus is that accepting cash above the threshold is not advisable and could lead to penalties, as it may indicate the buyer is using unaccounted funds. It's strongly recommended to opt for legal payment methods like bank transfers, cheques, or demand drafts to ensure a compliant and penalty-free sale.

Kapil Garg

22 Points Posted on 17 September 2020

I think there is no way to avoid penalty u/s 269SS if you take or accept specified sum in cash. Law is very strict and straight in these cases.

Papinder Singh

Taxpayer

72 Points Posted on 17 September 2020

This is a very unfortunate scenario, the seller is doing legitimate business but the buyer is probably using his unaccounted black money to buy the property, therefore he refuses to perform a bank transaction since it would put the spotlight on this black money.

The government should take action to curb the real estate black market somehow...

JumuB

22 Points Posted on 17 February 2023

Hi! I just wanted to know how it went, as you never updated.

Tariq

Tariq14

24 Points Posted on 20 February 2023

I'm also curious. Have you managed to do this? I know it's essential to ensure that any financial transaction is done legally to avoid penalties. In this case, accepting a cash payment for the post-registry amount is not advisable. The penalty under 269SS is imposed for taking cash above Rs. 20,000 from a single person in a single day. It's best to use a proper payment method such as bank transfer, cheque, or demand draft to avoid legal issues.

Tariq

Tariq14

24 Points Posted on 22 February 2023

Originally posted by : Tariq
	I'm also curious. Have you managed to do this? I know it's essential to ensure that any financial transaction is done legally to avoid penalties. In this case, accepting a cash payment for the post-registry amount is not advisable. The penalty under 269SS is imposed for taking cash above Rs. 20,000 from a single person in a single day. It's best to use a proper payment method such as bank transfer, cheque, or demand draft to avoid legal issues. I'm not sure, but I think you can pay in the way you wanted at some organizations like cashhousebuyersusa.com . Though it is better to check it