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OLD MACHINE PURCHASE

20 July 2024

I WANT TO PURCHASE 2ND HAMD OLD MACHINE FROM MY NABOUR.

BUT I WANT TO PAY HIM FROM MY PVT LTD COMPANY BECAUSE THAT MACHINE IS GOING TO USED FOR MY CAFE HOW CAN WE MAKE THE PAYMENT WITHOUT THE INVOICE.

AMOUNT IS 97000/-

GUYS GIVE ME YOUR SUGGESTIONS.

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5 Replies

CA Anoop Kumar Sharma (Accounts Manager) (2065 Points)
Replied 20 July 2024

If there is no official invoice than create a simple purchase agreement between company and your neighbor with mentioned all details related to machine and Make sure the payment is made through the company's bank account.

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sabyasachi mukherjee (27574 Points)
Replied 20 July 2024

OLD MACHINE PURCHASE IS NOT A ISSUE. PURPOSE?? UTILITY

Shiva Dubey (166 Points)
Replied 20 July 2024

@ anoop Sir then we can pay them without Tds right Sir

CA Anoop Kumar Sharma (Accounts Manager) (2065 Points)
Replied 20 July 2024

As per my opinion purchase amount of ₹97,000 for a second-hand machine is generally not subject to TDS due to not meet the threshold limit under Section 194Q and other TDS sections do not apply to purchase transactions.

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