Sale value for capital gains.

In July 2016 sold my flat for 2 crore as per an agreement but was registered for 1 crore.can I deposit the cash component of one crore also in the bank  based on the agreement & pay capital gain on sale price of 2 crores(1 received as CHEQUE + 1crore cash) and capital gain tax on this component also.what if the buyer declines to confirm the cash payment & legal consequence to the buyer if any.
Please advise.The other day on television debate on demonetisation such an advise was suggested by an eminent tax expert.please also point out some decided case on the subject.
Asked 2 months ago in Income Tax from New Delhi, Delhi
Dear Sir,

You can't show 1crore in cash because one is not allowed to accept any payment exceeding 20000 in cash with respect to the sale of immovable property.

If you do so, penalty equivalent to the amount received in cash( I.e. one crore in this case) can be imposed.

Please feel free to call/revert in case of any doubts

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

You may deposit the cash in your bank account but the onus to prove that you have received the cash from the buyer will lie on you. So in the end you will have to prove that the money you have deposited is out of the sale transaction and is received by you from the buyer. 

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
886 Answers
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Dear Sir,

You may deposit the same to bank account,
In any case if department ask for source of income you will have to prove the source of income etc.

For any further clarification, feel free to contact us.
Shiv Kumar Agarwal
CA, Delhi
197 Answers
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No you cannot deposit cash of 1 cr which is called unaccounted. If you want you can show other income and declare and pay tax.
Shyam Sunder Modani
CA, Hyderabad
1041 Answers
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