K P BHANUSHALI (PROPRIETOR) (512 Points)
06 April 2013Friends,
I am having a CC Account with Bank which has credit balance/OD balance throughout the year as well as on closing day of the year (31.3.2013).
As usual, for the month of March, 2013 also, bank directly debits interest to this account.
Whether there shall be any difficulty as far as section 40 is concerned?
T & R
KP
Dintakurthi Tirumala
(CA FINAL)
(15994 Points)
Replied 10 April 2013
It will not be any problem for section 40. And one more thing please clarify me you saying CC account has credit balance through out the year i.e is you said this regarding your books or bank books.
I.e is according to the company books it has credit balance or according to the bank account it has credit balance please be clarify.
OM SAI SRI SAI JAI JAI SAI
CAclubindia
