Financial Year FY 2026–27 (AY 2027–28)

The Income Tax Department of India monitors high-value transactions through the Statement of Financial Transactions (SFT) to track activities like credit card payments, cash deposits, and fixed deposits to help prevent tax evasion.

Key reporting limits:

1️⃣ Credit Card Payments Banks must report: • Cash payment towards credit card bills of ₹1,00,000 or more in a year • Total credit card payments (cash + online) of ₹10,00,000 or more in a year ➡ Transactions above this may be matched with your Income Tax Return (ITR).

2️⃣ Cash Deposit in Savings Account • ₹10,00,000 or more cash deposited in a financial year across one or multiple savings accounts must be reported.

3️⃣ Cash Deposit in Current Account • ₹50,00,000 or more cash deposited in a financial year in current accounts (mainly for businesses/professionals) must be reported.

4️⃣ Fixed Deposits (FD) • ₹10,00,000 or more invested in FDs in a year (including renewals) is reported. • FD interest is fully taxable as per your income tax slab.

5️⃣ Other High-Value Transactions Monitored • Cash purchase of property: ₹30 lakh or more • Mutual fund investment: ₹10 lakh or more • Cash purchase of bank draft/pay order: ₹10 lakh or more

✅ Important: These are reporting limits, not restrictions. You can transact above them, but the Income Tax Department may ask for the source of funds if it does not match your declared income in the ITR.