Difference between 40A(3) and 40A(3A)

This discussion clarifies the distinction between Section 40A(3) and 40A(3A) of the Income Tax Act. Section 40A(3) deals with disallowance of revenue expenditure incurred in the current year and paid in cash exceeding Rs. 10,000. Section 40A(3A), however, specifically addresses revenue expenditure from the previous year that was payable and paid in the current year in cash, exceeding the Rs. 10,000 threshold, citing an example of disallowed audit fees.