‘44% of realty deals still involve cash’

Six years after demonetisation of excessive worth forex to weed out black cash in circulation and verify the expansion of the parallel financial system, anecdotal proof reveals that individuals are nonetheless paying or accepting black cash in actual property transactions, says a survey.

“People are still selling and buying products like hardware, paints and many other household and office paraphernalia and also delivering services without proper receipts,” mentioned the survey by LocalCircles, a group social media platform. As a lot as 44 per cent of these surveyed who purchased a property within the final 7 years saying that they needed to pay a part in money is one thing value noting, it mentioned.

It mentioned property transactions emerged as the highest space of money utilization from a price per transaction standpoint within the 2021 survey. “The responses revealed that 8 per cent of the 11,499 respondents to the query had paid over 50 per cent in cash. Of the remaining, a whopping 35 per cent refused to divulge, 21 per cent claimed they had paid no cash during the transaction, 15 per cent had paid between 30-50 per cent of the transaction in cash, 13 per cent had paid 10-30 per cent cash and the remaining 8 per cent had paid up to 10 per cent of the value in cash,” the survey mentioned.

The state of affairs might look to have improved in comparison with the survey in November 2021 when 70 per cent of the respondents had admitted to paying money as a part of the transaction for property acquired within the earlier 7 years. One encouraging signal is that as towards 16 per cent who admitted to having paid over half of the quantity in money in 2021, the brand new survey reveals that the proportion of such instances has dropped to eight per cent within the new survey.

However, the 35 per cent not divulging should even be taken under consideration and it’s protected to imagine that many of those people did pay some money within the transactions they performed however they’re simply not comfy disclosing the identical, it mentioned.

According to the survey, one of many different areas the place money use was reported as excessive by individuals within the 2021 survey was paying money for house repairs, salaries of family employees and wonder companies. Respondents had been requested within the 2022 survey, “In the last 12 months, for which categories of services have you paid in cash (without receipt)?” it mentioned.

As a lot as 20 per cent pointed to salaries of home employees, 3 per cent for journey bills (class 2), 10 per cent for private companies/ house repairs.

Out of 10,224 respondents to a different question on use of money, 62 per cent pointed to groceries, consuming out and meals deliveries. Individually there have been no constructive responses to the classes – shopping for devices and long-term property or beneficial gadgets.