
Vigil necessary on excessive cash-withdrawal from bank-accounts
Study should be made about quantum of cash-withdrawals after lifting of cash-withdrawal limit from current-accounts in banks. It is also necessary because Reserve Bank of India (RBI) has announced removing all restrictions on cash-withdrawals even from savings-accounts in banks from 13.03.2017.
In an era when central government is trying, and rightly so, for a cashless economy, there needs to be proper check on excessive cash withdrawals from bank-accounts to prevent re-emergence of parallel economy of black money and hawala-operations. Income Tax Department can ask banks to provide details of bank-accounts and PAN-numbers where cash-withdrawal in a month has exceeded some stipulated limit. Auditors can be required to mention in their audit-reports about purpose of such heavy ...