How much should I spent from credit cards to avoid IT notice

66°
Deal Subedar
Mufasa

I have spend 40K+ from credit cards in last six months. I have heard  tax  hungry  department will keep eye on spenders. I have fixed my spending limit not exceed 80K annually. Although I am not shopaholic, but some of friends are & use my credit cards to ge EMI facility, discounts /Cashbacks. Of course I also get some commissions + rewards points. All my cards based backed by FD. I was working in a call centre for last 2 years & now I have left the job. I invested all my my income in FD. 

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Deal Cadet Deal Cadet
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FD se income !!! kafi khus nasib insaan hain aap: flushed

Deal Subedar Deal Subedar
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The interest is earned on FD treated as income & also taxable if interest amount surpasses 10K annually. I prefer FD over keeping money saving account as my personal expenses is very less.

Deal Cadet Deal Cadet
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I have spent 5L+ in 2 years.

Deal Subedar Deal Subedar
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Wow seems like you’re shopaholic

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Deal Cadet Deal Cadet
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That should be ok, as long as the trends are usual. There was one case where an ex-colleague of mine was pulled in due to multiple TV and refrigerators, not sure how that was solved, lost touch with him.

Benevolent Benevolent
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Spend as much as you earn or the amount you file your taxes for.

Spending more than income is a red flag.

Benevolent Benevolent
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File ITR every year even if u owe any tax.

Deal Cadet Deal Cadet
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It should not exceed your annual income.

Secondly in addition to above, you can add all the loans and existing savings.

Not more than that. You will not be able to justify it.

Deal Cadet Deal Cadet
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It depends on how u repay, if cash than over 1 lac may be an issue, if using bank accounts than bank reports only repayment over Rs10 lac in a year.

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