disallowances of exps....
This query is : Resolved
27 March 2009
hiiiiii,
The co. has incurred exp. of Rs. 40000. The payment of exp. is made by the co. directly by depositing cash into party's bank account.
So whether this exp. is going to be disallowed because of payment exceeding Rs. 20000 by cash???????????????
The co. has incurred exp. of Rs. 40000. The payment of exp. is made by the co. directly by depositing cash into party's bank account.
So whether this exp. is going to be disallowed because of payment exceeding Rs. 20000 by cash???????????????
27 March 2009
as per case study
SriRenukeswara Rice Mills Vs.ITO (2005) 278 ITR 77.
since the transaction became traceable it is allowed and does not attract 40A(3)
SriRenukeswara Rice Mills Vs.ITO (2005) 278 ITR 77.
since the transaction became traceable it is allowed and does not attract 40A(3)
27 March 2009
The Bangalore bench of the Income tax Appellate Tribunal held that such expenditure can be fully allowed as a bsiness expenditure in the situation referred in the query. Citation:- SriRenukeswara Rice Mills Vs.ITO (2005) 278 ITR 77.
Message likes :
1 times
28 March 2009
Thanks Sir
16 February 2013
The whole purpose of Sec 40A(3) is to break the mechanism of traill less transsactions, & this transactions has very much established the trail what was required.
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
- ITR validation error - Balance sheet is not filled
- Bank Accounts in Balance Sheet for ITR 3
- ITR 3 FILING OF AN INDIVIDUAL (PARTNER IN A PARTNERSHIP fIRM)
- Eway bill for machinery reparing
- Form 10BD Filling
- Annual return of gst limit
- TDS ON CASH WITHDRAWALS...
- Error whiling application of GST REFUND (ANNEXURE B)
- Applicable TDS for Purchase of Flat from NRI
- Change the gender in the registration of icai
- Lift replacement entries in housing society
- 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
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
