Income Tax Department today warned people against indulging in illegal cash transactions including donation of more than two thousand rupees in cash to political parties. The IT Department has published advertisements in leading dailies in this regard. <br/><br/>To clean up election funding, the government had recently notified electoral bonds that can be bought from specified branches of the SBI and used to donate money to political parties. According to the scheme, no person can make a cash donation of over two thousand rupees to a political party. <br/>IT Department also asked people no to accept two lakh rupees or more in cash from a single person in a day or for one or more transactions. Receiving or repaying over 20 thousand rupees in cash for transfer of immovable property is also not allowed. <br/><br/>The Department also added that one should not pay more than ten thousand rupees in cash relating to the expenditure of business or profession. It added that contravention of these threshold cash limits may result in levy of tax and penalty.