charudatta (auditor) (191 Points)
25 March 2014A propritor paid Rs 50000 to his consultant through 1 bearer cheque but take sign of consultant on 3 different vouchers of rs 20k,20k and 10k.
Is he liable for disallowance???
Manoj Mehta
(Head Of Department (Accounts & Finance))
(1479 Points)
Replied 25 March 2014
Yes Charu
In case of bearer cheque the amount will not get disallowed but making three voucher does not make sense to me as when the entry is made in tally in bank book only one entry will come. Just explain how entries is made in tally ..
Regards
charudatta
(auditor)
(191 Points)
Replied 25 March 2014
Thanx Manoj once again
They have made a single entry in tally software
and they prepared 3 different vouchers on 3 different dates
Manoj Mehta
(Head Of Department (Accounts & Finance))
(1479 Points)
Replied 25 March 2014
Charu
This cant be treated as cash payment as made from bank so allowed in my opinion.
Also no need of making three vouchers for the entry made in tally
regards
Manoj Mehta
(Head Of Department (Accounts & Finance))
(1479 Points)
Replied 25 March 2014
Please also see tds provision on the same as payment is above 30000 to a consultant.
charudatta
(auditor)
(191 Points)
Replied 25 March 2014
Very thanx manoj
I thing TDS also not applicale because single day payment is not exceeding Rs 30000 u/s 194J of Income tax act bcoz the voucher dates are different.so it looks that payment made on 3 diffrent days
Manoj Mehta
(Head Of Department (Accounts & Finance))
(1479 Points)
Replied 25 March 2014
Dear Charu
Please read 194J . TDS is applicable in this case. Deducion should be done. If not made then make it your observation point and take the matter to management also.
Regards
charudatta
(auditor)
(191 Points)
Replied 25 March 2014
yes i think TDS ll be applicable. I was thinking about 194C.
charudatta
(auditor)
(191 Points)
Replied 25 March 2014
what if balance 20 k (50k-30K of tds limit) are reimbursement of expenses
Yogesh Shah
(Managing Corporate Finance)
(1051 Points)
Replied 25 March 2014
Accounting Home Services
(Finance Executive )
(734 Points)
Replied 31 March 2014
IN MY POINT OF VIEW YOU SHOULD DEDUCT TDS 10% ON RS. 30000/- FIRST
94J LIMIT IS 30,000/-
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