Section 40a(2)(b) of income tax act
This query is : Resolved
16 February 2012
Hi..
Wanted to know what is the rate of interest allowed u/s 40A(2)(b) of IT act if interest is paid to the directors.
Also is it applicable for partnership firm or pvt ltd companies also
Please do revert
Regards,
Prashant Sawant
Wanted to know what is the rate of interest allowed u/s 40A(2)(b) of IT act if interest is paid to the directors.
Also is it applicable for partnership firm or pvt ltd companies also
Please do revert
Regards,
Prashant Sawant
16 February 2012
Practically the officers allow interest payments upto 15%.. however i recommend to provide for interest upto 12% which is average to the market rates..
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