expense - allowable or disallowable

This query is : Resolved

zakir (Querist)
Follow

19 March 2010 Mr.x made cash payment of Rs.36000/- to Mr.Y for a single bill (for eg. Bill no.143)
in the following way
Rs.18000/- on 18/03/2010
Rs.18000/- on 19/03/2010
allowable or dis-allowable?

CA CHINTAN AJMERA

CA CHINTAN AJMERA (Expert)
Follow

19 March 2010 Disallowed if single bill.

CA Ashok Kumar Sahu

CA Ashok Kumar Sahu (Expert)
Follow

19 March 2010 not disallowed if payment made by cash not more then 20000/- for a single day

rs 36,000/- is allowable

CA Shiv

CA Shiv (Expert)
Follow

19 March 2010 Allowable.....

CA Ravi Sisodia

CA Ravi Sisodia (Expert)
Follow

19 March 2010 allowable

CA CHINTAN AJMERA

CA CHINTAN AJMERA (Expert)
Follow

20 March 2010 If there is single bill then it must be disallowed. I accept that purchase made during different time but bill is still single.

CA Ashok Kumar Sahu

CA Ashok Kumar Sahu (Expert)
Follow

20 March 2010 chintanji in the sec 40A(3) specially mention if excess of cash payment more then 20000/- in a signal day then such amt fully disallow,

kindly read sec. 40A(3) with explanation for better understanding

Anurag Agarwal

Anurag Agarwal (Expert)
Follow

24 March 2010 The same is allowable as the amount being less than or equal to 20000 to a single person...................................................Agreeing with Ashok