| Question And Answer | |
|---|---|
| Subject: | Purchase of silver and gold jewellery transaction and investment limit |
| Category: | Income-Tax |
| Querist: | Kollipara sundaraiah |
| Answered by: | Law Intern |
| Tags: | Section 269ST, Section 44ADA |
| Date: | March 4, 2025 |
Sir,
A individual taxpayer doctor sec 44ada provision itr returns filed purchase of silver and gold jewellery transaction rs:5 lacs two times f.y.24-25
Question:
Assessess purchase of silver and gold jewellery transaction how many times for one financial year and how much value investing in one financial year it act.
The Income Tax Act does not limit the number of times an individual can purchase gold or silver jewellery in a financial year. The assessee can make 1, 2, or even 10 purchases (as in your case, 2 transactions of ₹5 lakhs each), provided:
– The source of funds for each transaction is explained (e.g., taxed income, savings, gifts).
– The mode of payment complies with Section 269ST (i.e., no cash payments exceeding ₹2 lakhs per transaction, implying the ₹5 lakhs payments must be via banking channels).