Dear Expert,
Refer to the subject, an imprest amount or any advances received by the assessee for factory expenses is taxable or not under income tax act. As on brief,the amount is received on his own saving account and utilise the same aginst factory site expenses.He has also maintain all the records for all payment proceedings. The amount of imprest is more than the exemption limit of IT slab as defined for the individual assessee in a financial year i.e. Rs. 6.0 lakh approx. The question is here that the amount is taxable for the the imprest holder under income tax or not.
Kindly suggest your opinion on this matter.
CAclubindia
