Section 40a(3)

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 June 2017 can we do cash payment exceeding Rs.10000 in a day to different persons for a particular thing .For example Repair of car expenses incurred Rs.35000 like for purchasing Tyers from A for Rs.10000, Battery Purchase from B for Rs.6000 so on.Does the total expense will be allowed for get disallow

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

06 June 2017 Total will be allowed because limit applies to payment made to a party at one time anr not to the aggregate of the payments.

Message likes : 1 times

Ankur

Ankur (Expert)
Follow

06 June 2017 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

Conclusion: Different Persons shall not be count. a Person shall be taken for this Section 40A(3).

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

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

bhavesh

Srikanthan S

rana andcompany

Pranab Banerjee

Gurunathan kannan

Subscribe Now

Section 40a(3)

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Accountant

GST CONSULTANT

GST CONSULTANCY

CA Final

Senior Executive

Manager- Finance and Compliance