The Department of Revenue, in the exercise of its powers under Section 269ST(iii) of the Income Tax Act 1961, has notified the list of transactions that shall not be subject to the aforementioned provision.
This provision was introduced by the Finance Act 2017, with effect from April 1, 2017, and sets a limit on cash transactions up to Rs. 2 lakh and penalises transactions exceeding this limit. The same was enacted to curb the menace of black money and tax evasion.
The notification has a retrospective application and shall be deemed to have come into effect from April 1, 2017.
The Section shall not apply to the following services: