03 September 2008
My client had paid cash Rs. 3,00,000 on the same day to the single party. But he got receipt of cash payment, which is lower than 20,000 in each case. The receipt of cash payment are serially numbered and are all the receipt of payment are on same date. Is this cash payment is disallowable under section 40A(3)for the financial year 2007-08 relevant to assessment year 2008-09.
Please specify whether this payment of Rs. 3,00,000 will be disallowed or not in the assessment year 2008-09?
CAclubindia
