40a (3)

Dear Sir

As per section 40A(3) of income tax act 1961:- 

Any payment made to a Transporter for plying or hirring of transport

- In a single day

- To a Single tranporter

- Is more than INR 35,000.

- Through other than Cheque, A/c payee, Bank is disallowed under section 40A(3) of income tax act 1961.

In Short words :- You can pay freight charges in cash upto INR 35,000 in a single day to Single Transporter

For TDS :-

If Transporter submit a Copy of PAN card than no need to deduct TDS on payment made to Transporter.