Cash payment in excess of 20000/-


This query is : Resolved 

12 December 2013 Dear Experts,

We have the following two queries :-

1. Can we make payment of Rs. 36000/- in two vouchers against two GR (each 18000/-)to same transport in cash. Is it admissible? What is permissible cash payment limit to transporter?

2. We have received the following invoices from our CS :-

i) A single invoice of Professional Fee of Rs.8000 + 3000 as reimbursement on dtd. 07-07-2013
ii) A single invoice of Professional Fee of Rs. 20000/- on dtd. 12-12-2013.

As per query no. 2,should we deduct TDS, if yes, on which amount & in which qtr. of TDS return we have to show these amounts.

Thanks

12 December 2013 1)it is okay if two cash payments are on two different dates,,

2)deduct tds on 28000,,no tds required on re-imbursement expences
.
.
3)you have to show in the quarter when you have deducted tds,,means when tds enty was made in your books
.
(i)Q2
(ii)Q3

TRINATH (Expert)
12 December 2013 1)SEC 40A(3) SHALL BE APPLICABLE AND 36000/- SHALL BE DISALLOWED

I THINK YOU DID TWO GR'S IN SAME DATE.

U/S 40A(3)a : - WHERE PAYMENT MADE FOR PLYING,HIRING OT LEASING GOODS CARRIAGES, THE PAYMENT SHALL MADE BY ACCOUNT PAYEE CHEQUE IF THE AMOUNT OF PAYMENT EXCEEDS RS. 35000/- IN A SINGLE DAY


12 December 2013 Dear Ganeshbabu Sir,

Should we include reimbursement while calculating TDS as invoice is consolidated of Professional Fees & reimbursement?

13 December 2013 Yes can do so..
.
.


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