Hi,
Suppose we have rent agreement with Mr Ram. Now he is saying that he does not have any bank account. He submited a application to issue the payment cheque in favor of his relative Mr . Shyam.
Can we make the payment in favor of Shyam in this situtation
Kindly advice !!!
rgds
balwan
Before makibng such arrangements kindly ensure the following:
1) If TDS attracted & TDS Certificate to be issued (in case of Company)
2) Agreement should be clear mentioned to whom should the payment has to be made.
The reason behind is that at the end of the day real owner should not claim that he has not received the Rent and at that time you will not have any prrof since payemtn not made in his favour.
thanks a lot
the query had been resolved
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