TDS on Rs 1-crore cash withdrawal aimed at cracking down on black money

The ministry said that the 2% tax, announced in last week's budget and to start in September, was prompted by information showing misuse

The finance ministry has said that the imposition of a two per cent tax deducted at source (TDS) on the withdrawal of over Rs 1 crore from a single bank account in one year is aimed at cracking down on black money and tax evaders. Bona fide persons need not fear, it said, as they will get TDS reimbursed at the time of their quarterly advance tax payment.
 
The ministry said that the two per cent tax, announced in last week’s budget and to start in September, was prompted by information showing misuse.
 
“We have seen that there