section 40(3)(a)

This query is : Resolved

pankaj (Querist)
Follow

29 June 2011 as per the provision of this section an assessee can't pay for an expenditure in cash more than rs.20000 or 35000 (as Case may be) to a person or party in a day.otherwise it will be disallowed.
here, for a transporter, payment of different H.S. to a person in a day will be combind or consider as diffrent payment.
please clarify.if any decision has been given relating to this section .please give the refrence also.

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
Follow

29 June 2011 Kindly clarify whether this is Service Tax or Income Tax Act

pankaj

pankaj (Querist)
Follow

29 June 2011 as per income tax.

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
Follow

29 June 2011 Expenses or payments not deductible in certain circumstances.

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.

This is to be read with Rule 6DD

320 ITR 185 (ALL)

Message likes : 1 times

pankaj

pankaj (Querist)
Follow

30 June 2011 if a transporter make some payment(more than 35000) to a person in a day against different H.S.,whether this payment will allowed ?.

example: if a transporter makes payment Rs. 19000 each for three H.S. to a person in a day.here, the total payment to the person is 57000,but for different H.S.
whether this payment will allowed ?

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
Follow

30 June 2011 Kindly do not write short form what is H.S explain

pankaj

pankaj (Querist)
Follow

30 June 2011 Dear Sir

H.S.=Hire Slips

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Dhananjay Singh

Hmr Babu

Mikilesh Shah

CA Jyoti Singh

Phani

Subscribe Now

section 40(3)(a)

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Article Assistant

Accountant

CA Final

GST CONSULTANT

Manager- Finance and Compliance

GST CONSULTANCY