Is there any limit in depositing money in savings account in banks.

POSTED BY deepak raj ON July 1, 2012 2:40 pm COMMENTS (15)

Is there any limit in depositing money in savings accounts in banks and will there be any problem of income tax or on the source of money.can i hold savings accounts in more than 2 banks and deposit money below 50,000 say around 45000 each in all my 3 or 4 savings account every week.will this attract any tax .i earn in a local finance business and my income is not on papers so please guide me how to save my income. If i had to pay tax for my income will i have to show source of income ?

15 replies on this article “Is there any limit in depositing money in savings account in banks.”

  1. M.Suresh says:

    My wife worked in a missionary organisation of USA. She worked in India for several years .After marriage she resigned that job. Now that organisation gave USD 5000 to her as a gift. We dont have pancard. If that amount deposited in our indian branch in our a/c can i have to pay tax?hw much will b d tax if i dont have pancard? I have applied for d pancard bfore 2 months & i didnt got yet.what can i do? Please tell me

    1. Its an income. So you have to pay income tax for sure.

      It will be considered as your income if you deposit it in your account.

      Manish

  2. Prabha says:

    Hi I am a salaried person and I borrowed around 6.5lakhs from my friends to buy house. I need to deposit now. Will it be questioned and taxable

    1. It will get taxable as only upto Rs 50k is tax exempt !

  3. Raj says:

    Hi I am having 1.5lakh in my saving account and I want to deposit 2lakh in my account . Do I need to pay any Tex for that amount.
    And what amount I can keep in my saving account without paying any tax.

    1. If its the post tax money, then there is no tax again as its already taxed, but if its other income and you fall into tax bracket, then YES, you need to pay tax !

  4. komanduri srinivasulu says:

    I am currently an employee of certain transport company who handles payments to drivers , advances etc
    my income is under 2.5 lakhs and i dont file tax as i dont come under slab
    but recently due to demonetisation , my company no longer can give cash for our operations as theres a limit daily
    so my company decided to transfer same money to my online personal savings account and i make payments to revelant people through online channel
    So the doubt is the amount i receive for this purpose is gonna exceed 70+ lakhs per year
    will there be any problem due to this from Tax department

    1. There should not be any issue if you have been doing business properly till now

    2. Ronann kalita says:

      My problem is also the same… please somebody help…

      Thanks in advance

  5. Raghav khanna says:

    I have around. 1500000 in my saving ac deposited in almost 5 yrs. is this information bank will give to the IT DEPARTMENT. No pan is given in the ac.

    1. We have no idea about it .

  6. ANIL says:

    i have my saving account .
    is there any limit in saving account.
    within 4 months i have done transaction about 11lakh .
    it is my salary based account also.
    i just want to know that is loan amount also including in transaction.
    so pls tell me is it my account including in income tax. pls inform to my mail.
    tell me about the limit

    1. No, there is no limit in saving bank account

  7. BanyanFA says:

    Hi Deepak,
    Probably it may be a good idea to approach this forum on tax planning rather than tax evasion point of view.

    Any cash deposited over 50K gets reported to IT authorities. There is no limit on the amount you can deposit into your saving bank account as long as it is legal money. However, at the same time, there is provision in the Income Tax Act which makes any cash receipt beyond 50K as questionable. I won’t have exact details on it.

    Regards
    BanyanFA

  8. Dear Deepak, depositing money in bank for below 50K Rs. to avoid quoting your PAN is one thing & taxation of your income is another thing.

    You are free to open as many account in as many banks as you like. Please do note, if you are opening accounts with the same banks but different branches, all these accounts can be traced easily by the CBS software of the bank in question as your PAN ‘ll be common in all these accounts.

    I do not know your exact business but my dear friend, as & when income tax people comes to your door, onus lies on you to prove the legibility of your money lying scattered in different accounts.

    To pay tax, you w’d have to report your income source.

    Thanks

    Ashal

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