🔍 Comparative Analysis: Rule 114E vs Rule 237
- 📄 Basic Framework
|
Particulars |
Rule 114E (Old) | Rule 237 (New) |
| Governing Section | Sec 285BA |
Sec 508(1) |
|
Reporting Form |
Form 61A | Form 165 |
| Reporting Purpose | Statement of Financial Transactions (SFT) |
Statement of Financial Transactions (SFT) |
|
Due Date |
31st May |
31st May |
📌 Both rules serve the same purpose but are aligned with new Income-tax Act structure.
- 💰 Threshold Comparison (Major Transactions)
- Cash Deposits / Banking Transactions
|
Transaction |
Rule 114E | Rule 237 |
| Savings Account Cash Deposit | ₹10 lakh |
₹10 lakh (PAN) / ₹5 lakh (No PAN) |
|
Current Account Cash Deposit/Withdrawal |
₹50 lakh | Same ₹50 lakh |
| Bank Draft / PO Cash Purchase | ₹10 lakh |
₹10 lakh (PAN) / ₹5 lakh (No PAN) |
📌 Source: Table under Rule 114E & Rule 237
👉 Impact: Stronger tracking of non-PAN / unreported persons
- Credit Card Transactions
|
Particulars |
Rule 114E | Rule 237 |
| Cash Payment | ₹1 lakh |
₹1 lakh (same) |
|
Other Modes |
₹10 lakh |
₹10 lakh (same) |
👉 No major change
- Investments (Shares, MF, Bonds)
| Transaction | Rule 114E | Rule 237 |
| Shares / MF / Bonds | ₹10 lakh | ₹10 lakh |
| Buyback of Shares | ₹10 lakh | ₹10 lakh |
👉 No threshold change, continuity maintained
- Foreign Exchange Transactions
|
Rule 114E |
Rule 237 |
| ₹10 lakh |
₹10 lakh (PAN) / ₹5 lakh (No PAN) |
👉 Again, PAN-based differentiation introduced
- Immovable Property
|
Rule 114E |
Rule 237 |
| ₹30 lakh |
₹45 lakh |
👉 Threshold increased
- Cash Sale of Goods/Services
|
Rule 114E |
Rule 237 |
| ₹2 lakh |
₹2 lakh |
👉 No change
- 🆕 New Transactions Introduced in Rule 237
Rule 237 expands reporting scope significantly:
|
New Transaction |
Threshold |
| Stamp Paper Purchase |
₹2 lakh (PAN) / ₹1 lakh (No PAN) |
|
Insurance Premium |
₹5 lakh (PAN) / ₹2.5 lakh (No PAN) |
| Gift / Joint Development Property Deals |
₹45 lakh |
|
Expanded property coverage |
Includes gift, JDA |
📌 These are not present in Rule 114E