Service
11 Points
Posted on 18 March 2017
Dear Sir,
As per the Income Tax Act cash transactions in a single day with a person beyond Rs.20,000.00 is an inadmisible expense. You can split the expenses over a period of time.
If that is not possible then please collect the persons email id, PAN card copy and address for communication. Preserve the same, as it may be required at a later stage during the course of assessment.
Further, if the expenses are covered u/s 194 and TDS has not been deducted then please request the party to provide Income Tax Return and preserve the same along with the other documents as it can be produced at a later stage during the course of assessment.