CA Ruchita Vaghani on Tuesday said in a post on X (formerly Twitter) that your savings account is always under the scanner of the Income Tax Department, and it is not just a place to park your money. She explained that cash deposits over ₹10 lakh in a financial year are reported to the Income Tax Department under the Statement of Financial Transactions (SFT). Advertisement

Vaghani also mentioned that banks report cash withdrawals over ₹1 crore in a financial year. "Banks report cash withdrawals over ₹1 crore in a financial year (₹20 lakh if no PAN/Aadhaar). Frequent large withdrawals can trigger verification," she wrote.

She further highlighted that frequent large cash withdrawals, interest mismatches, and undisclosed accounts can also draw scrutiny, urging taxpayers to remain cautious,

See Full Page