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deduction

07 July 2018

An assessee has made cash payments of Rs. 19,000/- to a person in the forenoon of 1.9.2014. In the afternoon of the same day he again made a cash payment of Rs. 10,000/- to the same person. The payments were made towards freight charges to transport. The deduction allowable is?

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2 Replies

RAJA P M ("Do the Right Thing...!!!") (128106 Points)
Replied 07 July 2018

Yes. The Expenses and the Payment is allowable.

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Deepak Gupta (CA Student) (15922 Points)
Replied 07 July 2018

Where payment is made for plying, hiring or leasing goods carriages, cash payment is allowed upto Rs. 35,000/- per person, per day instead of Rs. 10,000 applicable in all other cases. Second proviso to Sec. 40A(3A)

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