Credit card usage to avoid Notice

[Jatt18]

As I know that credit card usage should not exceed 10lakhs annually to avoid Notice from income tax department. Can someone tell me if I pay the credit card usage before the bill generation which make the bill zero then is there any chance of notice from IT department.

 

[krishna1718]

what ever you do if you spend 10L with creditcard your itr should be 10-15L or above must else you will receive notice for clariffication

 

[abhimarda]

As I know that credit card usage should not exceed 10lakhs annually to avoid Notice from income tax department. Can someone tell me if I pay the credit card usage before the bill generation which make the bill zero then is there any chance of notice from IT department.

That's not exactly correct. If your declared income per ITR is materially above 10 lakh then there should not be an issue. Secondly, it's based on payment made in a year i.e. 10lakh payment made to credit card whether you pay before bill generation or after bill generation does not make any difference.

 

[Kamma Raghuram]

As I know that credit card usage should not exceed 10lakhs annually to avoid Notice from income tax department. Can someone tell me if I pay the credit card usage before the bill generation which make the bill zero then is there any chance of notice from IT department.

Note: If u r using 10L and above from one particular bank then it vl b reported to AIS and then u will if ur income is below ur earnings. But I have credit cards from multiple banks. So I always make sure no bank crosses 10L in 1 FY. It won't impact u. So better use multiple bank cards.

 

[santoshraut]

If your income justify then there is no such limit...