Furniture purchase in cash

591 views 4 replies
a furniture is purchased by rs 80000
paid in cash
can we claim depreciation on the above purchase
Replies (4)

Yes, you can if supplier provides you tax invoice ............... ......... 

Refer section 43(1) second proviso, of the income tax Act . As per this section if you purchase Asset more than (10000) ten thousand in Cash then , Cost of aquisition become NIl, and therefore you Can not claim depreciation on Asset. correct me if I am wrong.

Refer section 43(1) second proviso of the income tax Act.

Others opinion is highly recommended.
Yes I agreed with Mr Prasad Nilugal view...

Also cheque out the Cash Expenses exceeds 10k is disallowed in Income Tax...
Sec 40(A) 3 diallowance


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