Cash, 2022 withdrawal limit: what you need to know

Cash, a new limit set from 2022 when, starting from 1 January, it will drop from two thousand to one thousand euros. 999.99 euros, therefore, the maximum amount that can be used for those who want to pay again in a ‘traditional’ way. A limit that applies not only to sales but also to any other transfer of money between different subjects, such as in donations and loans. But what happens in the case of withdrawals and bank deposits? How much money can be withdrawn from the ATM or at the counter? And can the tax authorities carry out checks? These questions are answered by the experts of the legal information site Laleggepertutti.it. Read also The assumption about bank withdrawals and deposits, explains Laleggepertutti, is that “here there is no transfer of ownership of money: the credit institution is a simple depository. It is as if the money never left the availability of the relative owner “but on this point, underlines the site,” there is a lot of disinformation and often we end up confusing the different rules, having different purposes “. When asked if there is a limit of one thousand euros on cash withdrawals, here is the answer: “As regards current accounts held by parties other than companies and entrepreneurs, there is no limit to the withdrawal of cash from the account. Contrary to popular belief , an unemployed person, a student, a pensioner, an employee, a craftsman, a professional can withdraw what they want from their current account without violating any rules and without this being considered a violation of the anti-money laundering legislation. the experts – it follows that, from a purely fiscal point of view, the Revenue Agency could never initiate an investigation against those who empty their current account by requesting cash banknotes “. So when are the checks triggered? “Fiscal controls – continue the experts – are triggered only on cash payments to the current account, whether it be a bank or postal account. cash payments and wire transfers received – income is presumed unless there is written proof to the contrary. The taxpayer is therefore faced with a choice every time he pays cash or receives a wire transfer: so to pay taxes but risking nothing, or he must be ready to defend himself from any request for clarification. This defense must be aimed at demonstrating that the sum paid or collected is the result of tax-free income (such as a donation or compensation ) or already taxed at source (such as a game win). for example, by registering the deed of donation or loan “. When the sum withdrawn in cash is large, continues Laleggepertutti, “it could happen that the bank asks its customer for clarification about the destination of the money. The latter will have to self-certify, by filling in a specific form, for what expenses the cash will be used. It is clear that if you withdraw more than a thousand euros and you declare that you have to pay a supplier you are tacitly admitting that you are violating the rule on limits on cash payments (which, as anticipated at the beginning, has dropped to one thousand euros since 1 January 2022). that you will suffer a penalty that can range from a minimum of one thousand to a maximum of 50 thousand euros. However, it can well be explained that the money is used for various expenses, not all aimed at the same person “. And again: “There is a mandatory reporting to the UIF (the Financial Information Unit) by the bank when the withdrawals, in the same month, considered in total exceed 10,000 euros. And this also applies to fractional withdrawals. in more operations of a lower amount (for example, 10 withdrawals of one thousand euros). The report is made not for a tax issue but for a check on illegal activities. experts pointing out that these are “checks and not bans”. So when is there a limit of one thousand euros on cash withdrawals? “Controls on withdrawals, which as we have seen do not exist for the majority of taxpayers, are instead envisaged for entrepreneurs and companies. For the latter there is a ceiling of 1,000 euros per day and in any case of 5,000 euros per month. you risk nothing; on the other hand, once this ceiling is exceeded, the Revenue Agency demands proof of the destination of the sum and, in the absence of evidence, starts the tax recovery of the money that is presumed to be destined for illegal investments “, conclude the experts .