Income Tax Raid: You can keep as much cash as you want in your house, there will be no income tax raid, just know these rules..

In India, there is no set limit on keeping more cash at home. However, if the Income Tax Department or ED doubts the source of the cash you have, they can raid. If too much cash is found in someone's house, what action is taken against them? Let us know this in this news below-

According to the Income Tax rules, there is no limit on keeping cash at home. You can keep as much cash as you want in your house. However, if ever the investigating agency catches it, then you will have to tell its legitimate source. If you have earned that money legally, then no action will be taken against you.

It is necessary to pay income tax
If you keep a large amount of cash at home, then you should have a legitimate source of that amount and documents related to it. Your income tax should also be paid according to your income. If you present this proof when more cash is caught by the investigating agency, then no action will be taken against you. It is important to know these rules, otherwise, you may have to pay a heavy fine.

Fine is imposed for not disclosing the legitimate source-
If you do not tell the investigating agency about the legitimate source of a large amount of cash found in your house, action can be taken against you. The Income Tax Department charges a fine of up to 137 percent of the amount of cash recovered from your house. This means that you may have to pay 37 percent more than the amount recovered in cash from your house.

Keep these things in mind in cash transactions-
When you make large transactions in cash, it is important to know the rules. You will have to show your PAN card when depositing or withdrawing ₹50,000 or more at a time from the bank. While shopping, you cannot pay more than ₹2 lakh in cash; PAN and Aadhaar are also required for this. Additionally, if you deposit more than ₹20 lakh in cash in your bank account in a financial year, you will have to show your PAN and Aadhaar to the bank. These rules help prevent black money and maintain financial transparency.