can i purchase fixed assets in cash
This query is : Resolved
23 December 2009
dear sir
Pls clear
can i purchase a fixed assets in cash
and how much amount i can invest in cash
what loss i will get in the transaction
Pls clear
can i purchase a fixed assets in cash
and how much amount i can invest in cash
what loss i will get in the transaction
23 December 2009
If your income is from salary; you can buy fixed assets in cash.
If you are buying fixed assets (except land) which are likely to be used in business and on which depreciation will be claimed; then of course; to avoid litigation; you should not buy in cash.
When you ask about loss; first tell what benefits you are likely to get when you buy it in cash.
People tend to transact in cash only because they are not having banking habits.
Buying through banking channel is more safe and evidence is there that you paid that much amount to someone.
If you are buying fixed assets (except land) which are likely to be used in business and on which depreciation will be claimed; then of course; to avoid litigation; you should not buy in cash.
When you ask about loss; first tell what benefits you are likely to get when you buy it in cash.
People tend to transact in cash only because they are not having banking habits.
Buying through banking channel is more safe and evidence is there that you paid that much amount to someone.
23 December 2009
completely agree with Sir Rakhecha.
23 December 2009
agree
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS 194-T applicability
- Tds on commission charges
- Applicability of GST on Salary Reimbursement Component
- TDS on Complimentary "Desi Ghee and Gold Coin" Provided to KBC Contestants
- Need Professional Opinion AY 2012-13 Old Demand
- Withdrawal in cash from partners capital account by partner
- TDS on TRUST
- Regarding Applicability of Tax Audit u/s 44AB
- New GST registration for new place of business.
- Renovation exp. in flat by family member
- Salary from Qatar in Dollars in India
- CHECK RELATED
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Starting trading business
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
Quick Links
ARTICLESHIP
01 September 2026
Articles
Saini Pati Shah & Co LLP, Chartered Accountants
Mumbai
CA Foundation
View Details
ARTICLESHIP
15 September 2026
Freelance Taxation Content Writer Intern
Interactive Media Pvt Ltd.
New Delhi
CA Inter
View Details
Featured
11 September 2026
Audit Executive
RBSM Corporate Advisors Private Limited
Pune
CA
View Details
ARTICLESHIP
04 September 2026
Accounts Executive
Hema Yashwanth & Associates
Chennai
B.Com
View Details
CCI
Pro
CAclubindia
