Cash salary more than 20000
This query is : Resolved
08 June 2009
If a company pays Wages in Cash to its workers totalling Rs 100000/- in a single day but not single person gets more than Rs 20000/-. Will this expense be allowed or not? What if Company first transfers the amt to one of its staff as Imperest to Staff and then salary payment entry is routed through his Imperest A/c?
08 June 2009
Section 40A(3) read with rule 6DD disallows expenditure if payments in excess of Rs.20000 is made otherwise than by way of crossed cheque/dd . The word payment is important. If payment to any worker does not exceed Rs.20000 though the overall expenditure on wages account is Rs 100000 on a single day , the entire expenditure is deductible.
08 June 2009
yes, the sum will be allowed
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
- Post Office RD Interest
- Building and other construction workers welfare cess act 1996
- Eway bill for machinery reparing
- Applicable TDS for Purchase of Flat from NRI
- Bank Accounts in Balance Sheet for ITR 3
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- ITR validation error - Balance sheet is not filled
- Form 10BD Filling
- TDS ON CASH WITHDRAWALS...
- Annual return of gst limit
- 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
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
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
