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can a person make cash payment Rs. 20000

This query is : Resolved 

06 March 2009 can a person make cash payment more than Rs. 20000 to a person in day if there is 2 bill

ex. 1 bill for 12000 date 21.1.2009

2. bill for 9000 date 22.1.2009

give answer with reffrence to low

06 March 2009 According to Sec. 40A(3) for disallowance the cash Payment should be more than 20000/- per Bill in your casse since each bill payment is less than prescribed limit so you can made payment in cash
it is immaterial that payee is the same person & payment made in one single day

06 March 2009 Yes, Sayyed is correct.






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