Cash payment above 20000 to small ransporter

This query is : Resolved

CA Archana Dhamecha (Querist)
Follow

16 July 2012 Is there any provision, Any circular or any notification in below mentioned matter:

In f. yr 07-08 , Assesee who is a dealer of dates, made some cash payment to small transporter above Rs. 20,000.

Basis of which he is saying that :

If we pay cash to small transporter , it will not be dissallowed under section 40A(3)

Is there any such provision or something else???

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)
Follow

16 July 2012 Finance act 2008 has one provision in hike of Rs.20000 to Rs.35000 for small transporter as follows

Hike in limit for cash payment under section 40A(3) where payment is made for plying, hiring or leasing of goods carriage:

In case of payment made for plying, hiring or leasing goods carriages, the ceiling of twenty thousand rupees specified in subsections (3) and (3A) shall be enhanced to thirty five thousand rupees.

The limit has been raised in case of transporters due to their special circumstances for incurring expenditure on long haul journeys. It is to be noted that for other categories of payees, the limit will

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

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

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

Rampal Saini

Pavithra Doss

ABHISHEK RATHORE

prasanth kona

Arvind Sharma

Subscribe Now

Cash payment above 20000 to small ransporter

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

CA Final

Accountant

Senior Executive

Manager- Finance and Compliance

GST CONSULTANCY

GST CONSULTANT