PURCHASES OF AGRILCULTURE LAND CASH MODE

This discussion addresses the implications of purchasing agricultural land using cash, specifically when the transaction exceeds Rs. 2 lakhs. It highlights Section 269ST of the Income Tax Act, which prohibits accepting cash payments of Rs. 2 lakhs or more for land sales. While the purchaser may not face direct liability, the large cash amount raises questions. The discussion also touches upon general restrictions on cash payments for business expenses and loans.