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Private ltd company-salary

Circulars 1044 views 1 replies

Hi everyone.

I have a query about private ltd companies.

Is there a section in the Income tax act which disallows/penalizes payment of salary/remuneration to an employee of a private Ltd. Co?

I would be glad if anyone could enlighten me on this.

Replies (1)
Yes there are nos of sections. E.g. Payment in excess of 20000 in cash 40(A) (3) Payment without deduction of tds if applicable u/s 40 ( i ) (va). Payment if related party and the same does not hold sufficient qualification for such position 40(A) (9) etc


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