Cash Rules for Income Tax: Can you be arrested for keeping too much cash at home, know the rules of Income Tax

Rules For Cash: A query is available in folks’s thoughts. How much cash ought to be stored at dwelling? Is there any legislation for this? If you maintain too much, will the Income Tax Department come? Let us know about it intimately.

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You typically hear information in the media that the Income Tax Department raided somebody’s home and seized cash price crores. Income Tax Department officers typically raid folks’s houses. And they seize costly issues and loads of cash from the homes.

It has been seen on many events that officers seize the cash discovered throughout raids. Question is available in folks’s thoughts. How much cash ought to be stored at dwelling? Is there any legislation for this? If you maintain too much, will the Income Tax Department come? Let us know the solutions to those questions.

There is not any legislation relating to keeping cash

There is not any provision in Indian legislation relating to whether or not you maintain ₹100 or ₹100 crore in your own home. Nor is there any rule that an individual can maintain cash or costly issues in the home solely to this extent. But cash can be stored on this amount.

Whatever revenue you have. That means you must give full particulars of that cash. You should have talked about about that cash in your ITR. That cash shouldn’t be unlawful in any approach. And when you are requested for details about it, you can provide full data.

Action could be taken

According to tax consultants, neither RBI nor Income Tax Department has made any rule underneath any legislation relating to keeping cash. You can maintain as much cash at dwelling as you need. But the situation is that you must maintain full accounts of all the cash. If the Income Tax Department suspects that the quantity of cash you have is suspicious.

Then the division can begin investigating it. And you must give data and rationalization relating to that cash in the investigation. If you fail to clarify the place the cash got here from and what was its supply. Then motion will be taken in opposition to you and your cash also can be confiscated.

Property Illegal Possession : If somebody has taken unlawful possession of the property, then do that instantly

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