Section 69A of Income Tax Act, income tax news updates: If a huge amount has been transferred to your account last year and you are unable to tell its source, then you have to pay huge tax under Section 69A of Income Tax Act. May be required.
Under Section 69A of the Income Tax Act, if a man is found to be the owner of money, gold, jewelery or other valuables kept in a bank account, he does not have a record of this and he is unable to give any explanation about this, then the taxpayer Will be considered as earning.
Not only this, even if the assessing officer of income tax is not satisfied with the question related to any of your assets, then that amount will be considered as the earning of the person and will have to pay tax on it.
83.25 percent tax on unclaimed amount
Such unclaimed amount is taxed at a higher rate of 83.25 per cent. This 83.25 percent includes 60 percent tax, 25 percent surcharge and 6 percent penalty. However, if the cash credit has already been included in the income and tax has been paid on it, then the penalty of 6 per cent will not have to be paid.
Heavy tax for not providing clarification
In addition to this, if there is a cash credit in the bank account of the taxpayer other than money, gold or any other valuable items and he is not able to give an explanation or the tax authorities are not satisfied with the explanation, he will still get a higher tax rate of 83.25 per cent. Will have to give Such cash entry is called unexplained cash credit under Section 68 of the Income Tax Act.
This scheme was implemented after demonetisation
The government had announced demonetisation in 2016 and 500 and 1000 rupee notes were immediately stopped. During that time many taxpayers deposited huge amounts of cash in bank accounts. The Income Tax Department had introduced a scheme for such taxpayers. Under this, they could get rid of legal issues by paying tax on their undisclosed income. Many taxpayers have also taken advantage of this.