Cash paid for truck exceeding 20000
This query is : Resolved
05 March 2011
SIr
The Co. Purchased a truck & remitted amount exceeding Rs. 20000 on a Single Day against one bill.please tell me whether such action on the part of Co. will lead to any Disalloance Under IT Act,1961 ?
The Co. Purchased a truck & remitted amount exceeding Rs. 20000 on a Single Day against one bill.please tell me whether such action on the part of Co. will lead to any Disalloance Under IT Act,1961 ?
05 March 2011
Cash paid on Purchase of capital goods allowable.
Message likes :
1 times
05 March 2011
Is th cash for capital goods always allowed ? according to me there must be special circumstances under wich such action can be taken...for e.g a bank holiday, or a distant place where it's not possible to settle transaction without cash payment...if cash is allowed for capital assets then there is no proper essence behind 40A (3)...the main motive of restricting cash transations by IT act is lost........
05 March 2011
You are right in asserting your opinion.
11 March 2011
Hi,
Appreciate your view, however the Section is not applicable to Capital Goods as purchase of capital goods by cash or otherwise cannot be factored into to compute the Taxable Business Income.
Thank you,
Regards
CA.Lohith.J
B.Com,ACA,CS,(ICWA),SAPM Hons,ITF Hons
Appreciate your view, however the Section is not applicable to Capital Goods as purchase of capital goods by cash or otherwise cannot be factored into to compute the Taxable Business Income.
Thank you,
Regards
CA.Lohith.J
B.Com,ACA,CS,(ICWA),SAPM Hons,ITF Hons
Message likes :
1 times
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
- About TDS & Income Tax
- PPF interest-As Exempt Income disclosure
- Scrutiny and reopening of past returns
- Tax on Deemed Capital Gain
- Section 194JA & JB Income which ITR Form to use
- Pass word to open justification report for Q1 for FY 2026-27
- Type of Capital Gain
- Regarding ITR filing with more value than showing in AIS/TIS
- F & O PROFIT REPORTING FOR AY 2026-27
- Booth for sales promotion
- Difff in ais receipts and gst turnover
- ITR-3 File/Error Found
- Exiting partner in partnership firm in gst portal
- Taxability of credit in canara bank ET & T section (NRO)
- Consequences of Non-Deduction of TDS under Income Tax???????????????
- TDS on Rent received on redevelopment of building
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
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
CAclubindia
