Can payment be made of above Rs. 20000 for purchase of car or other fixed assets or its a violation of sec. 40A(3)
Thanks in advance............
Can payment be made of above Rs. 20000 for purchase of car or other fixed assets or its a violation of sec. 40A(3)
Thanks in advance............
Dear Amit,
No, there is no violation of Sec. 40A(3) in that case.. it applies only to expenditure which are debited to P&L A/c (i.e. revenue expenses not capital expenses).
Best Regards,
CA Lovely Arora
ca.lovelyarora @ gmail.com
CAclubindia
