watch_later 21/03/23

Assessee maintained a private hospital included pharmacy stores two business same person. one patient treatment bill raised value rs:3 lacs  for hospital and medicines bills rs:40,000/- for pharmacy business .


Assessee amount received from one patient through on cash mode and upi mode per day limit under it act.

1 Response | Latest response: 30/05/23 | Sort by Likes(thumb_up) Recent | Income-Tax Reply
watch_later 30/05/23

Cash limit is Rs. 2,00,000 for a single transaction. So Pharmacy bill can be paid fully in cash and hospital bill only 1.5 lakhs can be paid because pharmacy bill and hospital bill, both are related to a single transaction/event.

Section 269ST comes into picture here.

269ST. No person shall receive an amount of two lakh rupees or more—

  1.  in aggregate from a person in a day; or
  2. in respect of a single transaction; or
  3. in respect of transactions relating to one event or occasion from a person,

otherwise than by an account payee cheque or an account payee bank draft or use of electronic clearing system through a bank account or through such other electronic mode as may be prescribed.



Sign up to discuss taxation, accounting and finance topics with experts from all over India.

Join Discussion