Dissallowance of exp.

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

27 April 2014 HELLO SIR,
PLS TELL ME IF A PERSON HAS PAID THE EXP. OF RS. 150000 APPROX. DURING THE YEAR BUT DEDUCTED TDS ONLY ON THE AMT. OF RS. 90000 .WHEATHER THE WHOLE EXP. OF RS. 150000 WILL BE DISSALLOWED OR ONLY RS. 60000 WILL BE DISSALLOWED U/S 140(A)(IA)

Santosh Kalburgi

Santosh Kalburgi (Expert)
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27 April 2014 Expense can be claimed to the extent of only 90000.
If the expense is salary, then you need to work out if the person (employee) has any liability arising to pay income tax, if he has income not exceeding 2 lakhs then you are eligible to claim deduction of 150000.
Regards,
Santosh G Kalburgi
Cost Accountant, Bangalore
9742022309

Nikhil Kaushik

Nikhil Kaushik (Expert)
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27 April 2014 1. while as of now disallowance shall be restricted only to Rs 60000, you have the option to pay tds before the due date of filing tax return under 139(1) and claim the deduction for Rs 60000 too.

2. Santosh - 40(a)(ia) is not applicable to salaries.

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