| Many people know that the information regarding | | | | debentures issued by a company or institution |
| certain specified high-value transactions need to be | | | | 5. Investments of Rupees 100,000 or more in the |
| reported to the Income Tax Authorities by the | | | | shares issued by a company |
| concerned Bank, Financial Institutions, Companies or | | | | 6. Purchase or Sale of any immovable property valued |
| Mutual Funds. However, do you know that such | | | | at Rupees 3,000,000 or more |
| transactions are also required to be compulsorily | | | | 7. Investments of Rupees 500,000 or more in a year |
| reported to the Tax Department by you along with | | | | for investment in bonds issued by Reserve Bank of |
| your Return of Income? I am sure that this information | | | | IndiaThe values of the transactions mentioned above |
| would come as a big surprise for you. Besides, like | | | | have to be considered as aggregate in a year and not |
| many people, you also might not be aware that there | | | | per transaction. However, in case of property |
| is a Schedule called as 'AIR (Annual Information | | | | transactions, the limit is for single transaction. |
| Report)' in the Income Tax Return. | | | | You must keep in mind that it is a mandatory |
| Well, it is mandatory for all the Assesses to furnish the | | | | requirement and hence you must comply with it. In fact, |
| details in respect of certain specified transactions | | | | I know several cases where the taxpayers have |
| every year. The following transactions are required to | | | | received notices for scrutiny of Income Tax Returns |
| be informed to the Income Tax Department as part of | | | | based on the information reported by the concerned |
| the Annual Income Tax return. | | | | Bank, Financial Institutions, Companies or Mutual Fund. |
| | | | Therefore, it is advisable to furnish the details so that |
| 1. Cash deposits aggregating to Rs. 1,000,000 or more | | | | there are no discrepancies between the information |
| in a year in any savings account by you maintained in | | | | reported by you (or not reported) and the concerned |
| a banking company to which the Banking Regulation | | | | institutions. |
| Act, 1949 (10 of 1949), applies (including any bank or | | | | In the End: |
| banking institution referred to in section 51 of that Act) | | | | Right from 2004, when AIR was brought into picture, |
| 2. Payment made by you against bills raised in respect | | | | there has been much confusion especially with regard |
| of a credit card aggregating to Rupees 200,000 or | | | | to Section 285BA of the Income Tax Act, 1961 and |
| more in a year. | | | | Rule No.114E of Income Tax Rules. Well, laymen like |
| 3. Investments of Rupees 200,000 or more in Mutual | | | | you and I would be better off in complying with the |
| Fund | | | | requirements of law. |
| 4. Investments of Rupees 500,000 or more in bonds or | | | | |