19 March 2010
Sir As per new notification can a firm make payment to transporters in cash in single day upto Rs 35000 as a advance on behalf of Party receiving goods.i mean to say frieght is not debited in our books,we are just paying on behalf of other party
19 March 2010
You will have to first debit freight account. Then Dr. the party and cr. the freight Account. Otherwise you cannot make payment in excess of Rs.20000/- on behalf of your party.
CAclubindia
