29 June 2016
A private limited company foreign expenses by traveling in foreign for business purpose and payment through credit cards. so 2 issues involved 1. Whether Credit card payment by director is allowed as expenses without supporting bills. 2. Whether RCM apply on company for foreign expenses , because of these expenses paid by indian and service by foreigner .
29 June 2016
1. To Claim any expenditure supporting bill is required, mere payment cannot be booked as expenditure. 2. RCM is not applicable if the expenses are in nature of reimbursement, but for that bills are required to quantify that it is a pure reimbursement.
CAclubindia
