Income Tax Notice: If you are also planning to buy and sell property, then this news is for you. Let us tell you that before buying and selling property, you have to give this information… otherwise income tax notice will come directly to your home.
If you are going to buy and sell property, then definitely keep in mind the limit of Rs 30 lakh. Similarly, if you sell foreign currency, then it will be necessary to take care of the limit of Rs 10 lakh.
So let us know about those 6 big transactions whose information is not given in the tax return filing, then the Income Tax Department can send you a notice. Action can be taken against you if you do not get the correct answer.
1- Buying and selling of immovable property-
If you buy or sell any immovable property, you must follow the income tax rules. If any immovable property worth more than Rs 30 lakh is bought or sold, then you will have to give this information to the property registrar and sub-registrar. This information has to be registered with the property registrar of your area.
2- Sale of foreign currency-
There is a special rule as to how much foreign currency can be sold in a financial year. If you earn Rs 10 lakh from the sale of foreign currency in a year, then this information will have to be given to the Income Tax Department. Failure to do so may result in appropriate action.
3-Deposit amount in savings and current account-
If you make a transaction of more than Rs 10 lakh in your savings account in a financial year, then you will have to inform the IT department. Similarly, if there is a transaction of more than Rs 50 lakh in the current account in a year, then this information will also have to be given to the Income Tax Department. To avoid action, do take care of this rule.
4-Fixed Deposit in Bank-
If you deposit more than Rs 10 lakh in cash in your fixed deposit account, then it will have to be reported to the IT department. If depositing more than Rs 10 lakh cash in one FD account or more than one FD account, the bank will have to inform the Income Tax Department. Banks fill Form 61A for this, which is a statement of financial transactions.
5-Credit card bill-
If the credit card bill is paid in cash for more than Rs 1 lakh, then it will have to be reported to the IT department. The Income Tax Department monitors all credit card transactions. If this information is not given then IT notice can be received. If settlement of more than Rs 10 lakh is done on the credit card bill in a financial year, then that information will also have to be given.
6-Investment in shares and bonds-
Investments in mutual funds, stocks, bonds or debentures of more than Rs 10 lakh in a financial year, if made in cash, will have to be reported. Annual information return statement contains information about your every transaction. With the help of this statement, tax officials can catch your transaction. Part E of Form 26AS contains details of all your high value transactions. Suppression of any kind of information may call for notice.
