Cash payment exceeding ₹ 20,000/-
This query is : Resolved
08 March 2017
Hi, Please guide me that whether a firm can pay remmuneration to partners Rs 25000/- each in Cash? The amount is within the permissible limit of Section 40(b).
08 March 2017
Hiii, kindly note that as per section 40A(3) amount paid in excess of Rs. 20000 towards expense is disallowed
even in case of partnership firm salary as per section 40(b) is expense for firm and if more than 20000 is paid in cash, same will be disallowed as per 40A(3).
even in case of partnership firm salary as per section 40(b) is expense for firm and if more than 20000 is paid in cash, same will be disallowed as per 40A(3).
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
- Section 194JA & JB Income which ITR Form to use
- PPF interest-As Exempt Income disclosure
- Scrutiny and reopening of past returns
- Under construction property in ITR
- Pass word to open justification report for Q1 for FY 2026-27
- Upload Level ValidationITR3Category of Defect B/D
- Booth for sales promotion
- Building tax payment deduction in rental Income
- New Garden in Place of Old Garden
- GST ON TRAVELLING BILLS
- F & O PROFIT REPORTING FOR AY 2026-27
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- Delisted shares sold in off market/ Rebate u/s87A
- In Exports Sales HSN details where to fill
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
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
