Violation of Section 269ST

This discussion clarifies the implications of Section 269ST of the Income Tax Act regarding cash transactions. It addresses whether paying or receiving ₹1,90,000 in cash and ₹60,000 by cheque for a product worth ₹2,50,000 violates the law. The consensus is that while the seller might violate Section 269ST if the total cash received exceeds ₹2 lakh, the buyer could face issues under Section 40A(3) for cash payments. It's advised to avoid transactions close to the limit to prevent scrutiny from the Income Tax Department.