Quick answer: There is no RBI limit on how much money you can deposit in a savings account. The limits that matter come from the Income-tax Rules 2026: PAN is mandatory once cash deposits or withdrawals total ₹10 lakh in a financial year, and banks report savings account cash deposits of ₹10 lakh or more to the Income Tax Department. Daily ATM and transfer caps are set by your bank.
Key numbers at a glance (FY 2026-27):
- ₹10 lakh per financial year: cash deposits or cash withdrawals that make PAN mandatory
- ₹10 lakh per financial year: savings account cash deposits that your bank reports through SFT
- ₹1 crore per financial year: cash withdrawals from one bank above which TDS applies (₹20 lakh if you have not filed ITR for three years)
- ₹2 lakh: cash a person can receive from one payer in a day or for one transaction
- ₹23: maximum ATM fee per transaction after your free monthly quota
Savings Account Deposit Limit: Is There a Legal Cap?
No law or RBI rule caps the total amount you can deposit in a regular savings account. You can deposit ₹5,000 or ₹50 lakh through cheque, NEFT, RTGS, UPI or cash, and the bank will accept it. What changes at higher amounts is documentation and reporting, not permission.
Three separate layers apply to a savings account:
| Layer | Who sets it | What it controls |
|---|---|---|
| Tax reporting and PAN | CBDT, under the Income Tax Act 2025 and Income-tax Rules 2026 | When PAN is required, when your bank reports you, when TDS is deducted |
| Channel limits | Your bank, NPCI and RBI | How much you can move per day through ATM, UPI, IMPS, CDM |
| Account-type limits | RBI KYC rules | Caps on small accounts opened with simplified KYC |
Most confusion comes from mixing these up. A ₹25,000 daily ATM limit is a bank rule. A PAN requirement at ₹10 lakh is a tax rule. Neither stops you from holding a large balance.
What changed on 1 April 2026
The Income Tax Act 2025 replaced the Income Tax Act 1961 from 1 April 2026, and the Income-tax Rules 2026 replaced the 1962 Rules. For savings accounts, the biggest change is how PAN quoting works for cash.
| Rule | Before 1 April 2026 (Rules 1962) | From 1 April 2026 (Rules 2026) |
|---|---|---|
| PAN for cash deposit | Cash deposit above ₹50,000 in a single day (Rule 114B) | Cash deposits aggregating ₹10 lakh or more in a financial year (Rule 159) |
| PAN for cash withdrawal | ₹20 lakh aggregate in a year (Rule 114BA) | ₹10 lakh aggregate in a financial year (Rule 159) |
| Declaration if no PAN | Form 60 | Form 97 |
| Bank reporting (savings, cash) | ₹10 lakh a year under Rule 114E | ₹10 lakh a year under Rule 237 |
The old ₹50,000 per-day PAN trigger no longer exists under the tax rules. Some bank branches may still ask for PAN at lower amounts as part of their internal KYC policy.
Cash Deposit Limit in Saving Account Under the 2026 Tax Rules
The cash deposit limit in a saving account, for tax purposes, is ₹10 lakh per financial year. This is not a ceiling on deposits. It is the point at which PAN becomes mandatory and your bank files a report with the Income Tax Department.
PAN quoting threshold under Rule 159
Rule 159 of the Income-tax Rules 2026 makes PAN mandatory when cash deposits or cash withdrawals aggregate to ₹10 lakh or more in a financial year, across one or more accounts with a bank, co-operative bank or post office. The count runs from 1 April to 31 March.
Example: A kirana store owner deposits ₹90,000 in cash every month into a savings account. By the twelfth month the total reaches ₹10.8 lakh, so PAN must be quoted, even though no single deposit looked large.
If you have lost your physical card, you can still quote the PAN number, or order a PAN card reprint for your records.
SFT reporting by banks under Rule 237
Banks file a Statement of Financial Transactions (SFT) with the Income Tax Department for specified high-value transactions. For savings accounts, aggregate cash deposits of ₹10 lakh or more in a financial year are reportable. For current accounts, the reporting threshold is ₹50 lakh.
These reported figures appear in your Annual Information Statement (AIS) on the income tax portal. The department compares them with the income you declare in your ITR.
| Account type | SFT reporting threshold (cash deposits per FY) |
|---|---|
| Savings account | ₹10 lakh |
| Current account | ₹50 lakh |
| Time deposits (FD) | Reported separately, excluding renewals |
If you do not have a PAN
A person without PAN who crosses a Rule 159 threshold must submit a declaration in Form 97, which replaced Form 60 from 1 April 2026. Banks may refuse the transaction if neither PAN nor the declaration is provided.
Applying for a PAN is usually simpler than repeated declarations. See current PAN card fees before applying.
Saving Account Transaction Limit Per Day
The saving account transaction limit per day depends on the channel you use. Banks, NPCI and RBI each control different channels, and your debit card variant often decides the ATM cap.
| Channel | Typical daily cap | Who sets it |
|---|---|---|
| Cash deposit at branch | No regulatory cap; PAN and SFT rules apply on annual totals | Bank + Income-tax Rules 2026 |
| Cash deposit machine (CDM) | Bank-specific per-transaction and per-day caps | Bank |
| ATM cash withdrawal | Depends on debit card variant | Bank |
| Cash withdrawal at branch | No fixed cap; large amounts may need advance notice | Bank |
| UPI | ₹1 lakh per transaction for standard transfers; banks may set lower daily caps | NPCI + bank |
| IMPS | Up to ₹5 lakh per transaction | NPCI + bank |
| NEFT | No minimum or maximum set by RBI; banks may cap net banking transfers | RBI + bank |
| RTGS | Minimum ₹2 lakh; no RBI maximum | RBI + bank |
For cash deposits, the ₹10 lakh annual count matters more than any single day. For digital transfers, the per-day cap in your net banking or UPI app is the working limit. You can usually raise or lower it in the app settings.
Why banks set their own daily caps
Daily caps on ATMs, CDMs and UPI exist mainly for fraud control. If a card or phone is compromised, a lower daily cap limits the loss. Premium debit cards usually carry higher ATM and point-of-sale limits than classic or basic cards from the same bank.
Check your exact limits in your bank’s app under debit card settings, or in the bank’s schedule of charges.
Cash Withdrawal Limit for Saving Account
The cash withdrawal limit for a saving account works on two levels. Your bank sets daily ATM limits based on your debit card. The Income Tax Act 2025 sets annual thresholds above which TDS is deducted on cash you withdraw.
ATM withdrawal limits
ATM withdrawal limits are not fixed by RBI. Each bank assigns a daily cash limit to each debit card variant. Basic cards issued with no-frills accounts carry the lowest limits; premium and metal cards carry the highest.
If you need more cash than your ATM limit, withdraw at your home branch using a withdrawal slip or cheque. For very large amounts, many branches ask for a day’s notice so they can arrange the cash.
Free ATM transactions and charges
RBI sets the free transaction count and the maximum fee. The rules effective from 1 May 2025 are:
| ATM used | Free transactions per month | Charge beyond free limit |
|---|---|---|
| Own bank ATM (any location) | 5 | Up to ₹23 per transaction + GST |
| Other bank ATM, metro centres | 3 | Up to ₹23 per transaction + GST |
| Other bank ATM, non-metro centres | 5 | Up to ₹23 per transaction + GST |
Free counts include both financial transactions (cash withdrawal) and non-financial ones (balance enquiry, mini statement), unless your bank offers more generous terms. Cash deposits at cash recycler machines are not counted under these charges.
To avoid using a free transaction for a balance check, check your balance through SMS, missed call or the mobile app instead.
TDS on large cash withdrawals
Banks deduct TDS when your cash withdrawals from one bank cross set limits in a financial year. This provision was Section 194N under the 1961 Act and now sits in Section 393(3) of the Income Tax Act 2025.
| Withdrawer | Annual threshold (per bank) | TDS rate |
|---|---|---|
| Filed ITR for at least one of the last three years | Above ₹1 crore | 2% |
| Not filed ITR for any of the last three years | Above ₹20 lakh up to ₹1 crore | 2% |
| Not filed ITR for any of the last three years | Above ₹1 crore | 5% |
| Co-operative society | Above ₹3 crore | 2% |
Source: Income Tax Department FAQ on TDS on cash withdrawal, Section 194N.
Example under the Section 194N method: A trader who files returns withdraws ₹1.2 crore in cash from one bank during the year. TDS of 2% applies to the ₹20 lakh above the threshold, which is ₹40,000.
This TDS is not an extra tax. It shows in Form 26AS and AIS, and you claim credit for it in your ITR. Confirm with your bank how it applies the Section 393 table for FY 2026-27, since practitioners are still reading the new schedule.
Monthly Caps: Free Transactions and Account-Type Limits
Regular savings accounts have no monthly deposit or withdrawal cap set by law. Monthly caps apply mainly to free transaction counts and to accounts opened under basic or simplified KYC.
| Account type | Deposit cap | Withdrawal cap | Balance cap |
|---|---|---|---|
| Regular savings account | None | None (bank daily channel limits apply) | None |
| Basic Savings Bank Deposit Account (BSBDA) | None on number of deposits | 4 free withdrawals per month, including ATM | None |
| BSBDA-Small Account (simplified KYC) | Total credits up to ₹1 lakh per year | Debits up to ₹10,000 per month | ₹50,000 at any time |
The BSBDA-Small Account limits come from RBI, based on a Government of India notification dated 16 December 2010. Once any limit is reached, the bank blocks further credits or debits until the next period or until full KYC is completed.
If your account has a minimum balance requirement, frequent withdrawals can also trigger non-maintenance charges. These are separate from transaction limits.
The ₹2 Lakh Cash Receipt Rule
The ₹2 lakh cash rule restricts the person receiving cash, not the bank. Under the provision formerly known as Section 269ST, carried into the Income Tax Act 2025, no person may receive ₹2 lakh or more in cash from one person in a day, for a single transaction, or for one event.
Banks, post office savings banks and co-operative banks are exempt as recipients. This means depositing ₹3 lakh of your own cash at your bank does not breach this rule.
Where it does apply:
- A business accepting ₹2.5 lakh cash from one customer for one sale
- A seller receiving ₹2 lakh or more in cash for a vehicle or property
- Wedding or event payments of ₹2 lakh or more received in cash
The penalty equals the amount received in cash. If you later deposit that cash, the SFT and AIS trail makes the receipt visible.
When Cash Deposits Attract Income Tax Scrutiny
Cash deposits attract scrutiny when they do not match your declared income, not simply because they are large. The AIS gives the Income Tax Department a year-end view of your cash activity, and mismatches with your ITR can lead to notices.
Common triggers:
- Savings account cash deposits of ₹10 lakh or more in a year, reported through SFT
- Cash deposits far above the income shown in your ITR
- Large cash deposits followed by quick transfers out
- Cash deposits in several accounts that together cross ₹10 lakh
- No ITR filed while cash deposits appear in AIS
If a deposit cannot be explained, the amount can be taxed as unexplained income at special high rates under the provisions formerly in Sections 68 to 69D of the 1961 Act. Keep records such as sale invoices, gift deeds, withdrawal slips for earlier cash, or agricultural income proof.
Example: A salaried employee earning ₹8 lakh a year deposits ₹12 lakh in cash from the sale of family gold. The deposit is legitimate, but it will show in AIS. The sale invoice and the capital gains entry in the ITR explain it.
Practical Checklist Before a Large Deposit or Withdrawal
- Confirm your PAN is linked to the account. Most banks already hold it from account opening.
- Track your running cash total for the financial year across all banks. The ₹10 lakh count is aggregate.
- Prefer NEFT, RTGS or cheque for amounts above ₹2 lakh when receiving money from others.
- Keep proof of source for any cash deposit you would not want to explain from memory a year later.
- Check your AIS on the income tax portal after the year ends and before filing your ITR.
- For large branch withdrawals, inform the branch a day in advance.
- If you have not filed ITR in recent years, note that TDS on cash withdrawals starts at ₹20 lakh instead of ₹1 crore.
What Experts Say
Chartered accountants who handle scrutiny cases generally point out that the ₹10 lakh figure is where most taxpayers first appear in the department’s data, not where trouble begins. A clean paper trail matters more than staying under any number.
Practitioners also note that splitting deposits across days or accounts to stay under a threshold no longer works under Rule 159, because the count is annual and aggregate. Such patterns can draw more attention, not less.
On TDS, tax advisers commonly recommend that small business owners who withdraw cash regularly file ITR every year, even with low taxable income. Filing keeps the higher ₹1 crore threshold available.
Frequently Asked Questions
What is the maximum cash deposit limit in a savings account?
There is no maximum cash deposit limit set by RBI or the Income Tax Act for a savings account. PAN becomes mandatory once cash deposits total ₹10 lakh in a financial year, and the bank reports deposits of that size to the Income Tax Department.
Is PAN required for a cash deposit of ₹50,000 in 2026?
No, not under the Income-tax Rules 2026. From 1 April 2026, PAN is mandatory when cash deposits or withdrawals aggregate to ₹10 lakh or more in a financial year. The earlier ₹50,000 single-day rule no longer applies, though a bank may still ask for PAN under its own policy.
What is the saving account transaction limit per day?
There is no single daily limit for all transactions. ATM and cash deposit machine limits are set by your bank based on your debit card. UPI is capped at ₹1 lakh per transaction for standard transfers, IMPS up to ₹5 lakh, and NEFT and RTGS have no RBI maximum.
How much cash can I withdraw from my savings account without TDS?
You can withdraw up to ₹1 crore in cash from one bank in a financial year without TDS if you filed ITR for at least one of the last three years. If you did not, TDS applies above ₹20 lakh.
How many free ATM transactions does RBI allow per month?
RBI allows 5 free transactions per month at your own bank’s ATMs. At other banks’ ATMs, you get 3 free transactions in metro centres and 5 in non-metro centres. Beyond these, banks can charge up to ₹23 per transaction plus GST from 1 May 2025.
Will I get an income tax notice for depositing ₹10 lakh in cash?
Not automatically. A deposit of ₹10 lakh or more in a year is reported to the Income Tax Department and appears in your AIS. A notice usually follows only if the deposits do not match the income and sources shown in your ITR.
Can I deposit ₹2 lakh in cash in my own bank account?
Yes. The ₹2 lakh cash receipt restriction does not apply to banks, post office savings banks or co-operative banks receiving deposits. Depositing your own cash of ₹2 lakh or more at your bank is allowed, subject to PAN and reporting rules.
Sources
- Income Tax Department, Income Tax Act 2025 and Income-tax Rules 2026 (Rules 159 and 237)
- Income Tax Department, FAQ on TDS on cash withdrawal under Section 194N (incometax.gov.in)
- Reserve Bank of India, circular on usage of ATMs and cash recycler machines, interchange fee and customer charges (effective 1 May 2025)
- Reserve Bank of India, FAQs on Basic Savings Bank Deposit Account
This article is for general information and reflects rules in force for FY 2026-27. Bank-specific limits change often. Check your bank’s schedule of charges and consult a chartered accountant for your specific case.