not, according to the second proviso so you can Area 269SS, in which the depositor and the person are receiving agricultural income and are also perhaps not when you look at the bill of every other taxable earnings, Point 269SS can get zero software.
Usually, according to the specifications out-of Point 269SS, one never located advances for sale regarding immovable property of Rs. 20,one hundred thousand or maybe more into the dollars. 20,one hundred thousand or even more in respect off said for sale regarding property could well be liable to punishment below section 271D of Work.
The new proviso so you can point brings “Considering further that the provisions of area will perhaps not pertain to the loan otherwise put otherwise given share, where in fact the people away from which the mortgage otherwise deposit or given sum try taken or accepted as well as the individual because of the whom new mortgage or deposit otherwise specified contribution was taken or recognized, try both having agricultural income and you may neither of those has actually people income chargeable so you’re able to taxation around that it Operate.” It specifies you to definitely enjoy of put/ financing /specified sum will not attention specifications out-of sec 269SS in which each other new parties are agriculturists and you will each other keeps earnings lower than very first different restrict
Q. Mr. Lal Singh bought an https://perfectloans24.com/payday-loans-la/deridder/ agriculture belongings to own Rs. 1,80,one hundred thousand inside the dollars out-of Mr. Nijjar Singh. Both try agriculturists and none of them has money surpassing the fundamental exclusion restriction. Whether Sec.269SS feel relevant in it and you can if penalty you/s 271D could well be enforced on it?.
Ans. It’s getting listed you to definitely sec 269SS works with acknowledgment away from specified contribution and you can cause to your part contains the meaning out of given sum “earns one sum of money receivable, if or not just like the get better if not, in terms of transfer out of a keen immovable possessions, whether or not the import takes place.” It discusses not just advance about immoveable possessions, as well as currency obtained at the duration of transfer of property.
However, as the one another Mr. Lal Singh and you may Mr. Nijjar Singh is agriculturists and you will each other have earnings less than basic exemption restriction, sec 269SS should not be applicable in it. Mr. Nijjar Singh have received ‘given sum’ other than account payee cheque/ draft otherwise ECS. However, this may perhaps not amount to pass from sec 269SS and you may and that, penalty u/s 271D should never be imposed.
Yet not, the question one to comes up listed here is if this reputation would keep to use actually where in fact the sale planning paid off just like the pay day loan could have been confronted with TDS less than Section194-IA of your Act
The solution perform continue to be same even when the home are other than agriculture belongings because different given is not associated with version of assets. Alternatively, the fresh new exclusion is for new agriculturists. Hence, sec 269SS will not be applicable in this case.
Since the dollars acquired because of the Mr
Whether your consideration to the land was Rs. 5,00,100000 the solution often however are still exact same. Yet not, in this instance sec 269ST could be relevant. Sec 269ST will bring that the provisions of this area will maybe not connect with deals of the character referred to in the part 269SS.It’s getting listed that the exchange anywhere between a couple agriculturists that which have money less than taxable maximum isn’t included in sec 269SS thus sec 269ST are going to be relevant inside.
Nijjar singh exceeds Rs. 2,00,100000 terms away from sec 269ST is actually broken. Penalty amounting in order to Rs. 5,00,one hundred thousand is going to be enforced you/s 271DA.
Part 269SS might have been registered however with a standpoint to end purchases for the black colored money and also to make certain payments off Rs. 20,000 and you will over, is traceable so you’re able to deals owing to a financial. Show app money partakes the type out of a deposit, since it is repayable within the specie to the refusal to allocate offers and that is repayable if the recalled of the applicant, in advance of allocation out-of offers and also the completion of the offer. Bhalotia Systems Functions (P.) Ltd. versus. CIT 275 ITR 399 (Jhar.)