about section 40a(3)

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

16 September 2014 Dear Sir,

My question is that

A company purchase goods from Mr.y on 10/09/2014 through bill No. 12,13 respectively amt Rs. 18000,25000. on 12/09/2014 company also purchase from same party through bill no. 16 amt rs. 22000 and next day purchase through bill no. 18 amt rs. 25000.

on 20/09/2014 company make payment of rs 81000 in cash at same time (assuming that payment of bill amt is 18000+21000+20000+22000)

can this expenditure is allowed u/s sec 40a(3) or not?
and ans is different if company make expense instead of purchase.

please make answer as early as possible

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
Follow

16 September 2014 if total payment made is exceeding rs 20,000 then yes sec 40A(3) is applicable.

Nikhil Kaushik

Nikhil Kaushik (Expert)
Follow

16 September 2014 ideally only two of the invoices should be disallowed. However, there is a good chance that AO may disallow the whole of the payment made.

Querist : Anonymous

Querist : Anonymous (Querist)

16 September 2014 Thanx Sir,

Answer is also same if payment make for expense not for purchase.

Nikhil Kaushik

Nikhil Kaushik (Expert)
Follow

16 September 2014 yes. the answer is same...............

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
Follow

17 September 2014 yes ans also applicable for exp........

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

THUSHAR MURALI KRISHNA

giriswar

Akhil Jain

Somnath Maiti

Shunmugavel Manohar

Subscribe Now

about section 40a(3)

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

GST CONSULTANT

Accountant

GST CONSULTANCY

CA Final

Manager- Finance and Compliance

Senior Executive