Double disallowance of expense

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CA Alina Pradhan (Querist)
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15 December 2011 payment of more dan 20000 is disallowed under section 40 A(3) and if TDS payment isa delayed then it is disallowed uner section 40 i(a).but is it allowed to disallowe in both the section for the same payment?is there any clause for double disallowance of the same expense?

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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15 December 2011 No double disallowance if the expenditure disallowed as per one section i.e. the expenditure regarding to it not claimed then no chance to attraction of other section. For example let as assume an expenditure not allowed as per section 40A(3) that means expenditure not claimed for the purpose of income tax then no question of disallowance of section 40i(a) because there is no expenditure relating to it for income tax purpose. So only one time disallowance attracts.
OM SAI SRI SAI JAI JAI SAI

Ratan Sharma

Ratan Sharma (Expert)
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15 December 2011 Yes it can be disallowed under both the sections. But the addition can be made once. The A.O. may refer both the sections in his assessment order but the addition can be of one amount only . No double additon of the same figure is allowed.

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CA Alina Pradhan

CA Alina Pradhan (Querist)
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27 January 2012 thanks to all of u...