Transport

Sir I m truck owner. I have 2 trucks and 1 pickup and it is mentioned in my return. On september 2016 I bought new truck on finance and its instalment paid of Rs.65100 through auto debit system. Sir all my freight are received by me in cash and payment also made in cash. What should I do in in this case when cash deposit of above 270000 will be taxable. As I have to receive cash as freight and later deposit it into bank as all cash are banned 500 and 1000 currency. Sir. I used to make transaction through netbanking and several times I transfer cash to my mother and wife. Does it affect on taxation? Sir kindly assist me what should I do. My freights are pending and they do not give that to me on chaque. Please help.
Asked 27 days ago in Income Tax from Khariar road, Odisha
Dear Sir,

We recommend you to take face to face advice from a CA. Because it will require examination of your last ITR.

Please feel free to call/revert in case of any doubts
Abhishek Dugar
CA, Mumbai
766 Answers
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You can deposit cash which were received before 9th Nov 2016. After that u cannot accept cash in denomination of 500 and 1000 as the same is not legal tender.
Shyam Sunder Modani
CA, Hyderabad
955 Answers
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Your regular cash deposits arising out of your normal business activities will not be taxable, even if the deposits exceed Rs 2.5 Lakhs. However, you need to maintain proper books of accounts and be able to establish the source of such deposits. If they are not properly accounted for and the IT Dept adds them as unexplained cash credits, you may end up paying penalty of 200% of your tax liability u/s 270A.  
B Vijaya Kumar
CA, Hyderabad
290 Answers
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Dear Sir,

In your case we should file ITR-4S of last two year. You can deposit cash which were received before 9th Nov 2016. After that you cannot accept cash in denomination of 500 and 1000 as the same is not legal tender

If the source is genius you will not face any difficulty.

For any further clarification feel free to contact us.
Shiv Kumar Agarwal
CA, Delhi
197 Answers
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Hello Sir,

If you have bills supporting all your cash income, then it should not be a problem depositing the cash income.

Trust this clarifies your query. 

Feel free to call / get back in case of further clarifications. 

Thanking You. 

Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
Rohit R Sharma
CA, Mumbai
719 Answers
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Cheque credits does not create any problem if you are paying taxes on the same

Please feel free to revert in case of any doubts

Thanks and Regards
Abhishek Dugar
CA CS B.Com
Abhishek Dugar
CA, Mumbai
766 Answers
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Hello Sir,

Is it a cheque or is it Cash. If its Cash then you need to worry, or else just relax you wont face any issue. Just need to pay taxes on your income if required.

Trust this clarifies your query. 

Feel free to call / get back in case of further clarifications. 

Thanking You. 

Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
  Talk to Rohit R Sharma
Trust this clarifies your query. 

Feel free to call / get back in case of further clarifications. 

Thanking You. 

Regards,
Rohit R Sharma
BCOM, ACA, LLB-GEN, CERT. FAFP
Rohit R Sharma
CA, Mumbai
719 Answers
5.0 on 5.0
  Talk to Rohit R Sharma
Sir online transfers, rtgs, cheques are not a problem. only problem is the deposit of cash in denomination of 500 and 1000.
Shyam Sunder Modani
CA, Hyderabad
955 Answers
4.9 on 5.0
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