Payment exceed rs. 20000 in cash

As per my knowledge they both should cover under Rule 6DD... 

No disallowance where the payment is made for the purchase of—

   (i)   agricultural or forest produce ; or

  (ii)   the produce of animal husbandry (including hides and skins) or dairy or poultry farming ; or

(iii)   fish or fish products ; or

(iv)   the products of horticulture or apiculture,

to the cultivator, grower or producer of such articles, produce or products;

I donot think it should not be disallowed as this rule is applicale only for revenue expenses.Purchase f Trays are capital expenses. hence the said expenditure needs not be disallowed

I AGREE WITH THE ABOVE DISCUSSION.

Originally posted by : Madhavi Pandit
	No disallowance where the payment is made for the purchase of—    (i)   agricultural or forest produce ; or   (ii)   the produce of animal husbandry (including hides and skins) or dairy or poultry farming ; or (iii)   fish or fish products ; or (iv)   the products of horticulture or apiculture, to the cultivator, grower or producer of such articles, produce or products;

It is to be noted that payment hs been made for purchase of Trays and not for purchase of agricutural produce. This explaination cannot be justified as per my Knowledge 

Both Are covered under Rule 6DD!

AGREED WITH MADHAVI