ANY PAYMENT DONE BY COMPANY ON BEHALF OF MD..HOW TO SHOW THIS TRANSCTION IN ACCOUNT OF THE COMPANY ? I think it is to be shown under loans and advances to director..is there any requirement to take a letter signed by MD to authorise such transction?
Menu
Payment made by company on behalf of md
Replies (1)
Loans cannot be shown since same will be classified as deemed dividend u/s 2(22)(e) .
therefore show it as perquisite given to MD and will be taxable as salary in the hands of MD.
for more details visit and post : https://knowyourtaxation.blogspot.in/
Recent Threads
- Deferment period for Advance Tax under Section 234
- Permanant transfer of duty free goods by Advance A
- 1% TDS Deduction on Property purchase through inst
- Tax on leave encashment on retirement
- Guidance Required on Notices Under Section 234B Af
- Rcm invoices and normal invoice
- Regarding STCG on Equity
- GSTR 9 details with same PAN & different Turno
- Hotel ITC
- ITR for Trust- 12A
Related Threads
CAclubindia
