News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
« Direct Tax »
 Focus on TDS before filing returns
 Finance Ministry revises down direct tax target for smaller cities
 Senior citizens with taxable income up to Rs 5 lakh can seek TDS exemption on bank interest
 Focus on direct tax reforms as panel set to submit report
 CBDT wants religious, charitable trusts to be more open about their affairs
 Few Changes To Note For AY 2019-20 Income Tax Return Filing
 CBDT wants shell cos ‘revived’ to collect pending taxes
 CBDT allows AMCs to directly manage offshore funds out of India
 Taxpayers Beware! Specifications in ITR Forms to make it difficult for assessees to stay indifferent
 Penalties for Late Filing of Income Tax Returns
 CBDT again defers GST Reporting in Tax Audit Report

Central Board of Direct Taxes clarifies on cash curb, Aadhaar
April, 12th 2017

While a regular business is required to maintain books of account, the small taxpayers under the presumptive taxation scheme are exempt from the same, and are taxed on a declared income at a prescribed rate.

Among several changes made in the Finance Bill, 2017 to discourage cash transactions, the government has cut the presumptive taxation rate to 6% from 8% for the amount of turnover realised through cheque and digital mode, the Central Board of Direct Taxes (CBDT) said in a statement. Additionally, the Finance Bill prohibits businesses from claiming depreciation allowance or investment-linked deduction if the capital expenditure in cash exceeds `10,000, while halving the limit for revenue expenditure in cash to `10,000.

The legislative provisions are directed at small taxpayers including those that avail presumptive taxation scheme. While a regular business is required to maintain books of account, the small taxpayers under the presumptive taxation scheme are exempt from the same, and are taxed on a declared income at a prescribed rate.

Further, CBDT reiterated that a person cannot receive more than `2 lakh in cash and a contravention will attract penalty of a sum equal to the amount of such receipt. However, it clarified that the restriction was not applicable to any receipt by government, banking company, post office savings bank or co-operative bank. The restrictions will also not apply to withdrawal of cash from a bank, cooperative bank or a post office savings bank. The CBDT will issue necessary notification for the same.

“Restriction on receipt of cash donation up to `2,000 has been provided on political parties for availing exemption from Income-tax. Further, it has also mandated that any donation in cash exceeding `2,000 to a charitable institution shall not be allowed as a deduction under the Income-tax Act,” CBDT said in a statement.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2019 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Organic SEO Outsourcing Organic Search Engine Optimization Outsourcing Organic Website SEO Organic SEO India Website SEO India Organic Search Engine Optimization India Organic Internet SEO India Organic Web

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions