Hi All,
As per new amendment, cash payment above 20000 will disallow full expenditure.
Eg: Purchase Rs.150000.
Payment made by Account payee cheque Rs.125,000/- and Rs.25000/- by cash.
I think it is full disallowed from ASSESSMENT YEAR 2008-2009.
I am correct or wrong
| Originally posted by :Purushothama J | ||
| " |
Yes it is fully disallowed But as per the intension of law maker only the portion of cash payment should which is in excess of 20,000 should only be disallowed |
" |
No, Full amount will not be disaalowed . Only, Rs.25,000 will be disallowed.
yes, u r right.
It is fully diallowed from AY year 2008-09(Amendment of 3CD form)
yes this exp is fully dis allowed9(25000) wef A.Y. 2008-09
but there is diff. in the calculation the of Rs 20000 for A.Y.2008-09 & 2009-10.
students appearing in MAY 2009 should know the diff.
25000 will be disallowed
| Originally posted by :Ravi Satpal | ||
| " | 25000 will be disallowed | " |
HELLO, EVERY BODY,
UNDER SEC 40(A),3 MORE THEN 2000./- CASH PAYMENT WILL NOT BE DISALLOWABLE IF FOLLOWED RULE 6DD, OTHER WISE IT WILL BE DISALLOWBLE MORE THEN 20000/-(SO, ACC.TO YOUR QUE, IT WILL BE DISALLOWABLE ONLY 25000/-)
Yes Rs 25,000 is disallowed but if the purchase were in part say in multiple of less then 20000 then Rs 25,000 shall be allowed and sec 40A(3) SHALL not be applicable.
If we read section 40A(3) with section 40A(3A), it appears that only the mount of Rs. 25000/- should be disallowed.
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