The Income Tax department will slap you with these 4 notices if you try to deposit black money

The Income Tax Department is keeping a hawk’s eye on transactions in banks. The de-monetisation of Rs 500 and Rs 1000 notes, in a bid to curb black money, will lead to disclosure of people having illicit money stashed with them.

If you are going to deposit money in your bank account in coming days, here’s a checklist and if yours is black money, get ready for the following notices by Income Tax department.

1. Notice under section 142(1):

If you have never filed your income tax and show up at your bank to deposit money, the banks will ask for your PAN card. Through your PAN card, the I-T Department will get alerted of some wrongdoing. They can issue you a notice under Section 142 (1), asking you to furnish your ITR within 15 days. The Assessing Officer (AO) can also enquire about your personal belongings and can ask you to submit your personal books of accounts, apart from professional. This notice will come with a notice under Sections 144, 148 or 153A.

If you fail to do so, the A.O will assess your income and impose tax and penalty as per his/her own judgement. The A.O can also slap a show cause notice under Section 144. Not complying with the notice directives can lead you to a minimum fine of Rs 4 per day which may extend up to Rs 10 per day for each day the failure continues. You might end up in prison for up to 1 year.

2. Notice under Section 148

The AO can ask you to furnish details of last six financial years, explain source of your income, etc. If there is a mismatch in your tax filing and incomes, the AO can ask you to give payable tax under Section 156.

3. Section 153A (Raid)

If there are major irregularities, the income tax department can also conduct a raid at your place to find out other assets like gold, property papers, benami transactions etc. You won’t get an advanced notice for it.

4. Notice under Section 143(2)

If you haven't been declaring your full income while filing taxes, you will get a notice under Section 143(2). This means the department has picked you up for assessment and scrutiny. You will have to produce documents of your income declared in your ITR. For the financial year 2015-16, a notice under this section can be issued till 30.9.2017. In the notice the A.O can ask for books and accounts for any number of previous years.