40a(3)

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Rahul Gupta (Querist)
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03 November 2012 Dear Sir,
cash paid in excess of Rs. 20000/- for the payment of electric expenses is allowable or not?
Plz tell me...

CA Manish

CA Manish (Expert)
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03 November 2012 No It is not allowed.

Rahul Gupta

Rahul Gupta (Querist)
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05 November 2012 but sir payment of electricity bill is an govt dues i.e. we paid to govt. and it comes under payment to govt. rule 6DD
whether it is correct or not?

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CA Siddhartha Bhardwaj

CA Siddhartha Bhardwaj (Expert)
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22 November 2012 It is covered by Rule 6DD and accordingly Section 40A(3) is NOT attracted.

Dear Rahul, you should have mentioned in the original query that the payment was made to the electricity board.

Electric expenses cover a lot of things.