Cash receipt in excess of ₹ 3 Lakh.

[CA AJAY KUMAR AGRAWAL]

As per proposal in Finance Bill 2017, a new section 269ST has been inserted prohibiting receipt of cash in excess of ₹ 3 Lakh. Banks / FIs / NBFCs have been exempted. (I feel these are exempted in both capacity i.e .as payer & payee as well) Whether cash withdrawal from bank (by ordinary person) in excess of ₹ 3 Lakh is also covered?

AI Summary

Exploring Finance Bill 2017: Does Section 269ST's Cash Limit Apply to Withdrawals Over 3 Lakh for Individuals? Clarification Pending. A discussion was initiated regarding the implications of the Finance Bill 2017, specifically the newly introduced Section 269ST, which prohibits the receipt of cash exceeding 3 lakh. Banks, financial institutions, and non-banking financial companies are exempted from this restriction. A query was raised about whether cash withdrawals exceeding 3 lakh by ordinary individuals are also subject to this prohibition. The response indicated that clarification from the Reserve Bank of India (RBI) is anticipated to address this concern.