Abc Traders is a trading firm. It purchases goods worth Rs.60,000 from Xyz Traders.
My question is:
Can Abc pay Xyz in cash the total amount in a single day?
Can Xyz receive cash from Abc of the total amount in a single day?
Please clear this cash payment and receipt confusion.
Thank you.
Warm regards,
Sanu Bhagat
S.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 ten thousand rupees, no deduction shall be Allowed in respect of such expenditure, except in the circumstances specified in the section as specific exceptions.
AS per ABC:
alternative 1: You can pay Rs 10,000 per day
alternative 2: Can pay other than cash mode (lumpsum amount)
as per XYZ: receipient point of view, no such kind of provision.
but when no payment, no chance to receive.
Sir, I have subscribed for 2 MF (equity) Dividend re-investment plan schemes for a period of 10 years and more. Now 8 years completed and I want to redeem the fund. Is the amount received is taxable. If taxable on what amount tax to be calculated.
VDN - email id: vdnvnt @ yahoo.com
Pay cash 60000/- and Prepare 6 Cash Voucher Each for Rs 10000/- and Take in ur Accounts on 6 Diffrent Dates
Dear Sir,
I am working Senior Manager Finance in a Electric contract company, In our field , cash payment is done for wages through cash dialy which may exceed Rs.10,000/-, can this be claimed as Expenditure or will this also be disallowed.
| Originally posted by : B.S.VENKATARAM | ||
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Dear Sir, I am working Senior Manager Finance in a Electric contract company, In our field , cash payment is done for wages through cash dialy which may exceed Rs.10,000/-, can this be claimed as Expenditure or will this also be disallowed. |
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It's to One Person then You must be consider as Banking Mode
CAclubindia
