03 October 2013
I have made cash expenses of Rs 32000/- in a single day under different expenses head and different parties.for Exp: - Dt 1 Oct 2013, we made expenses and booked in cash book on same day - Rs 15000/- for food exp paid to XYX hotel, Rs 8000/- to repairs and maintenance to Mr. ABC, Rs 9000/- for printing & stationery purchase paid to LMN enterprises in cash total Rs 32000/-. so will it disallow u/s 43A.
04 October 2013
Any payment or aggregate payments made otherwise than by account payee cheque to a single person in excess of rs20000(35000 for transporters)in a single day shall be disallowed. Accordingly ,as you quoted in your example rs32000 shall be disallowed
07 October 2013
Agree with other expert.Disallowance will be made only if payment to one single party in one day exceeds 20000. If you pay less than 20000 to even 10 parties in a day ,there is no disallowance
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