GST ERA

Limit on cash acceptance of Rs. 2 lacs or above from 1st Apriil, 2017.

With effect from 1st April, 2017, as per section 269ST of the income Tax Act, 1961, we are not permitted to accept cash of Rs. 2 lacs or more per day per person from clients. Payment towards a single invoice of Rs. 2 lacs or more will not be accepted in cash even though the payment is done on different dates.
Penalty for contravention of the provision of section 269ST is equivalent to the amount of cash received.

In view of the some, following shall be the method of direct deposit to our bank account:

1. Cash deposit in our bank account with effect from 01.04.2017 will be restricted to Rs .1.99 lacs

2. Payment of Rs .2 lacs or more shall be made only through cheque, online transfer through NEFT / RTGS /Credit Card/ IMPS.

3. If invoice value is Rs.2 lacs or more, then payment shall be made
only through cheque, online transfer through NEFT I RTGS I
Credit Card/ IMPS.

4. Any direct cash deposit made in our bank account or multiple bank account on same day amounting to Rs .2 lacs or more shall be forfeited and no credit will be given to the client as we will have to offer the amount deposited as penalty u/s 269ST of the Income Tax Act, 1961.