banner_ad

Related Party Payments

This query is : Resolved 
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
16 September 2010 I came across a case where the assessee has shown rent expense payable to his mother. this is a related party transaction. However only the relevant journal entries have been passed and no payment has actually been made. Is this transaction reportable u/s 40A(2)(b)?
Profile Image

Aditya Maheshwari

Profile Image

Aditya Maheshwari (Expert)
16 September 2010 Section 40A(2)(b) is applicable in case of expenses debited to the P & L A/c. So in the above case expenses have been debited and hence reportable.
Profile Image

CA. BIJENDER KR. BANSAL

Profile Image

CA. BIJENDER KR. BANSAL (Expert)
16 September 2010 Yes, assessee debited the Profit & loss a/c it means he are claiming expense, hence it is to be reported under section 40A(2)(b)
Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
17 September 2010 Thanks Mr. Aditya and Mr. Bijender
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
19 May 2026
Article, CA & Paid Assistant Positions

Aggarwal Sarawagi and Co

New Delhi

CA

View Details
Company
14 May 2026
Senior Associate

ABHISHEK SHANKAR AGARWAL & ASSOCIATES

Kolkata

CA

View Details
Company
29 May 2026
Company Secretary - Part time

Shaswat initial support private limited

Ahmedabad

CS

View Details
Company
07 May 2026
CA Assistant

amit desai and co

Mumbai

CA Final

View Details
Company
ARTICLESHIP 15 May 2026
Audit Assistant / Article Trainee / Intern

SSGS and Associates

Chennai

CA Inter

View Details
Company
ARTICLESHIP 17 May 2026
CA Article /Trainee

Malik Sunil & co

New Delhi

CA Foundation

View Details
Company
11 May 2026
Post office

Post office

Anakapalle

Others

View Details
Company
27 May 2026
Audit Assitant

Virender K Gupta and Co

New Delhi

B.Com

View Details