Cash payment settlement above rs.10000/-
This query is : Resolved
Pradeep Kumar Sarangi
(Querist)
24 April 2019
Dear Expert,
As per IT Act, under section 40A(3) the payment made through cash above Rs.10000/- is disallowed for any expenditures. Can it allowed, If cash payment show in advance (As loan in someones account) and adjustment entry will pass for the same expenditures which is above Rs.10000/-.
Pls. suggest the accounting treatment for cash payment except the payment mode by cheque, demand draft, NEFT etc.
As per IT Act, under section 40A(3) the payment made through cash above Rs.10000/- is disallowed for any expenditures. Can it allowed, If cash payment show in advance (As loan in someones account) and adjustment entry will pass for the same expenditures which is above Rs.10000/-.
Pls. suggest the accounting treatment for cash payment except the payment mode by cheque, demand draft, NEFT etc.
CA AnKiT BoHrA (AB)
(Expert)
24 April 2019
you can break the entries with below 10000 in different dates...!!
Pradeep Kumar Sarangi
(Querist)
24 April 2019
Sir,
If I break the entries day wise, then the cash book in my accounts will be affect.
If I break the entries day wise, then the cash book in my accounts will be affect.
CA AnKiT BoHrA (AB)
(Expert)
24 April 2019
you have to do that... but at the end of the year the cash balance will be same....
It will be tough only if you are maintaining manual accounting records
else system wont have any issues with that
It will be tough only if you are maintaining manual accounting records
else system wont have any issues with that
Pradeep Kumar Sarangi
(Querist)
24 April 2019
Can I pass the payment entry with bulk amount above Rs.10000/- as advance & then adjust it day wise Rs.10000/- against advance.
It is allowed or not as per the define section & rules.
It is allowed or not as per the define section & rules.
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
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- Ito add credit side of bank
- GSTR9 Annual Return
- Employee secondment
- Form 144 TDS Return Validation error
- GST ITC as per notification 12/2023- central tax
- Capital gain on commercial property and investment in residential property
- Rent agreement of House of deceased person
- Applicability of tax on invoice
- Positive Balance in RCM Liability/ITC Statement – Commercial Rent RCM – Guidance Required
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- 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?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
- RCM @ 5% on Hamali charges, Transport Charges, Unloading charges we take ITC or not
- Need Professional Opinion - AY 2012-13 Old Demand & AY 2026-27 Refund Adjustment
- CALCULATION OF DEFFERED TAX - OP BL IS DTL & CURRET IT DTA
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
