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Cash payment in excess of 20,000/-

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Querist : Anonymous

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Querist : Anonymous (Querist)
18 January 2011 Dear Sir,

Our Company is deals in providing tentage material on hire basis for Govt Functions.

It also provide Generator and purchase diesel and make payment in excess of Rs. 20,000/- in respect of diesel. is it allowed under income tax act.

thanks in advance
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Guest (Expert)
18 January 2011 Cash payment exceeding Rs.20000/- for purchase of diesel will not be allowed U/s 40A(3).

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