Above a certain limit, information related to bank account or any immovable property transaction has to be given to the Income Tax Department through SFT. Penalty is imposed for delay or failure to furnish information about the statement of financial transactions.
New Delhi. The Income Tax Department has extended the deadline for filing SFT i.e. Statement of Financial Transactions by a few more days. The Income Tax Department has told banks, foreign exchange dealers and other reporting entities that they have a few more days to file SFT returns for reporting large transactions done by their customers. Earlier, the last date for giving details of SFT was May 31.
The Income Tax Department has given information about this by tweeting. The IT department said that due to simultaneous filing of returns on the reporting portal, there have been some problems. In such a situation, the facility of filing FFT returns will continue for a few more days. Banks, foreign exchange dealers, NBFCs, companies issuing bonds/debentures, etc. are required to file SFT returns.
Is the limit attached to STF
Statement of Financial Transaction (SFT) was implemented in the financial year 2020-21. Under this, a limit of financial transactions has been fixed for everyone and it is necessary to inform the tax department if this limit is crossed. Late filing of SFT returns attracts a penalty of up to Rs 1,000 per day. At the same time, you may have to face penalty even for filing a wrong statement. Through SFT, the Income Tax Department monitors high-value transactions carried out by an individual.
IT keeps an eye on transactions worth lakhs
If Rs 10 lakh has been deposited in your savings account or Rs 50 lakh in your current account. Has bought land or any property worth more than Rs.30 lakh. Information about such cases has to be given to Income Tax Return (ITR) through SFT. If more than 10 lakh is deposited in the bank’s savings account, then the bank has to file SFT. In case of immovable property, the Registrar has to file SFT on deals above Rs 30 lakh. If you buy mutual funds, bonds or shares of more than 10 lakhs, then the issuer has to do this work.
For registration and submission of SFT returns, entities need to visit the official website https://report.insight.gov.in. Post offices and sub-registrars have the option of submitting the details directly to TIN Facilitation Centres.
