Section 40a(3)
This query is : Resolved
Vishal gabani
(Querist)
19 March 2012
If any payment made in cash to staff or workers for bonus having amt more than 20000(individuall) for all one single entry pass debited to bonus to workers . Is it attract section 40A(3) of income tax act? Second quarry is does it make any differance to this section if payment made as salary to part time or full time employee more than 20000 after TDS?
CA Prashant Gupta
(Expert)
19 March 2012
any exp which is more than 20,000/- is paid in single payment i.e. more than 20,000/- then it will fall u/s 40A(3).
in this case bonus of employee is more than 20k so it will attract 40 A(3).
if payment is made as salary after TDS then also situation is same. because salary is exp. it is irrelavant if TDS is deducted or not.
in this case bonus of employee is more than 20k so it will attract 40 A(3).
if payment is made as salary after TDS then also situation is same. because salary is exp. it is irrelavant if TDS is deducted or not.
19 March 2012
There is no difference u/s 40A(3) since the both the cases the amount should be an expense.
yes, this case comes under the purview of 40A(3).
yes, this case comes under the purview of 40A(3).
Vishal gabani
(Querist)
19 March 2012
Thank you sir
plz reply me what is sec. 6DD ?
19 March 2012
Rule 6 DD is contains exceptions to the section 40A(3),those cases no dis-allowance will be attracted.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Capital Gail Exemption Certificate
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Taxation of crypto futures in India Fy 2026- 2027
- MSME disclosure and disallowance
- Issuing of delivery challan by seller of goods
- EPF ECR NEW RULES Sep 17th 2026
- Accounting treatment of AMC alongwith the purchase of Laptop
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
