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Aslam (Querist)
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26 June 2013 how much is limit of paid of cash in one day in the manufacturing co.and in the year how much bill should be in job work than we deduct tds

CA.Vinita Gupta

CA.Vinita Gupta (Expert)
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26 June 2013 Sec 40(A)(3)(a) Cash payment exceeding 20000/- per day would be disallowed
For Transporters Rs.35000/-

TDS 194C
Rs.30000/- for Single Bill
Rs.75000/- during Financial Year

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CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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26 June 2013 Section 40A(3:

Where the assessee incurs any expenditure in respect of which a payment or aggregate of payments made to a person in a day, otherwise than by an account payee cheque drawn on a bank or account payee bank draft, exceeds twenty thousand rupees, no deduction shall be allowed in respect of such expenditure.

Provided further that in the case of payment made for plying, hiring or leasing goods carriages, the provisions of sub-sections (3) and (3A) shall have effect as if for the words "twenty thousand rupees", the words "thirty-five thousand rupees" had been substituted.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
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26 June 2013 For TDS Section 194C attracted.

Rate:

Individual/HUF @ 1%
Others @ 2%.
No PAN 20%

Threshold limit:

Single Bill Rs 30000/-
Total payment during FY Rs 75000/-

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