IT Department's Delhi division is now taking action against individuals who are engaging in property purchase in cash transactions more than Rs. 20,000. For the purpose, the IT department is scanning all of the registries made between 2015 and 2018, when income tax teams visited all of the 21 Sub-Registrar offices of Delhi.
They scanned all the registries done from June 1, 2015, to December 2018 where the cash payment above Rs 20,000 was made," a senior I-T Department official is quoted as saying in a leading business daily.
The aim of the move is to curb black money that generates due to cash transaction in immovable property. And some of the changes have been made in Section 269SS of the Income-Tax Act for the realty sector in the year 2015.
From June 1 2015, any real estate transaction that includes agriculture land is required to be done via account payee cheque or electronic fund transfer of Rs. 20,000 or above or RTGS. And in case the cash transaction is beyond the permissible limit, then a penalty of an amount equal under Section 271D on the seller who accepts money in cash or or refund of advance is made in cash by the seller of the property.