Cash payt excluction 40a(3)
This query is : Resolved
10 October 2013
40A(3) applicable or not in the follg sitn:
1)Rigan purchases goods in cash from his brother for Rs 40000, whose market value is Rs 35000.
2)Riyan purchases a building for RS 1000000 and makes the payment in cash.
3)Riyan makes a purchases of goods of RS 60000 and makes payment of RS 45000 by account payee cheque and RS 15000 in cash.
Please reply and thanks in advn.
1)Rigan purchases goods in cash from his brother for Rs 40000, whose market value is Rs 35000.
2)Riyan purchases a building for RS 1000000 and makes the payment in cash.
3)Riyan makes a purchases of goods of RS 60000 and makes payment of RS 45000 by account payee cheque and RS 15000 in cash.
Please reply and thanks in advn.
10 October 2013
Ans 1. Yes
Ans 2. It is not an exp.
Ans 3. No
Ans 2. It is not an exp.
Ans 3. No
Message likes :
1 times
10 October 2013
1)Sec.40(A)(3)Applicable and disallowed and also need to report in tax audit report under section 40A(2)(b)
.
..
2)Sec.40A(3)Not applicable for Expenditure not debited to profit and loss
3)Sec.40A(3) not applicable
.
..
2)Sec.40A(3)Not applicable for Expenditure not debited to profit and loss
3)Sec.40A(3) not applicable
Message likes :
1 times
10 October 2013
Agree with Experts,
1. Purchased made by Regain will be disallowed as Cash Payment exceed the prescribed limit of Rs. 20000. Sec. 40{a}3 applicable..
2. Purchase of Asset can be made in cash, no disallowance..
Sec. 40{a}3 not attracted...
3. Cash payment limit is under 20000, no disallowance, section 40{a}3 not attracted..
regards,
1. Purchased made by Regain will be disallowed as Cash Payment exceed the prescribed limit of Rs. 20000. Sec. 40{a}3 applicable..
2. Purchase of Asset can be made in cash, no disallowance..
Sec. 40{a}3 not attracted...
3. Cash payment limit is under 20000, no disallowance, section 40{a}3 not attracted..
regards,
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
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- STCG....................................................
- Treatment of Pension ?annuity returns on PMVY
- TAN for Partnership
- Sales return eway bill
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- Is E Way Bill Valid If Transport ID Not Mentioned in PART A But Vehicle details mentioned in PART B
- Tax liability on income of freelancer
- Loan by Partnership Firm
- TDS related Query_Liquidated Damages
- Gst invoice numbering and delivery challan numbering
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
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
