Paying salary in cash

upto 20000 per day, 40A(3)

yes, it can be paid up to Rs.20000

U can pay what so ever amount as salary in cash to your employees..

But if you want to make payment in cash on a single day make sure that u dont make a salary payment in excess of 20000/- per person. :)

In only case of payment to transporter  up to 35000 you can pay cash per person.

Other then t payment to transporter you can pay up to Rs. 20000 for each transaction.

Agree Rs 20000 is the limit

but generally salary is transferred to bank account of employee.It is secure, confidential and verifiable 

Agree with the view of Anamika.........

Refer to Rule 6DD Provisions ...

yes upto Rs. 20000 can be paid in cash above this limit the expense will be dissallowed u/s 43A(3) of Income tax Act 1961

upto 20,000 can b paid in cash...+rule 6DD

Rule 6DD-

1)employee if out for work and there he doesnot maintain bank a/c then u can pay in cash...

2)termination benefits upto 50,000...

Hi

What if monthly salary is 35000,

and Employer wants to pay in cash at the end of month

Would Employer is allowed to pay it cash or

he can show in break up let say 20000 & 15000 in two different date.