Contact Your Financial Adviser Money Making MC
6
November 2017
 |
Farmer (The Total Investment & Insurance
Solutions)
Traders
can pay farmers up to Rs 2 lakh in cash against the purchase of their wheat
produce notwithstanding income tax rules, the Central Board of Direct Taxes has
said.
The
move comes due to disaffection among farmers as they were not being paid even
Rs 50,000 in cash for agricultural produce bought under the Minimum Support
Price scheme despite instructions to this effect from the Madhya Pradesh
government.
Chief
Minister Shivraj Singh Chouhan had written to Union Finance Minister Arun
Jaitley to redress the grievances of farmers regarding cash payments for their
produce, following which the Finance Ministry issued the circular dated
November 3 about the Rs 2-lakh cash limit.
The
circular made it clear that purchases for Rs 2 lakh or less will not require
production/furnishing of Permanent Account Number or Form Number 60.
An
official statement issued here on Sunday said that as per the Income Tax Act of
1961, cash purchase above Rs 10,000 is not allowed but the limit has been
waived for the purchase of agricultural produce.The Total Investment & Insurance Solutions
No comments:
Post a Comment