Whether the limit of RS. 10,000 in sec 40A(3) needs to be seen person wise or Bill wise.
say for eg, Three bills were issued in respect of same person amounting to 8000, 9000, 10,000. Payments for all the bills were made on the same day.
Going by literal words of the section, it would be disallowed, as the payment to a person exceeds 10,000 in a day.
But all the Expenses are within limits.
So whether it will be disallowed or not ??
CAclubindia
