Whether payment of telephone charges of amount exceeding Rs. 20000 to BSNL result in a violation of Section 40A(3)?
Also Whether TDS can be deducted on the same if it exceeds the limit?
Namitha Sebastian (article assistant) (102 Points)
19 November 2014Whether payment of telephone charges of amount exceeding Rs. 20000 to BSNL result in a violation of Section 40A(3)?
Also Whether TDS can be deducted on the same if it exceeds the limit?
SIVASIVA
(FCA, Future CA)
(4935 Points)
Replied 19 November 2014
Yes. on or above 20000 rs. will attract 40A3.
But TDS not sure. Because Bsnl is a govt entity. Hence, it would be exempted.
CA Parul Saxena
(CA)
(8488 Points)
Replied 19 November 2014
TDS is not leviable on telephone expenses.
Cash payment more than Rs.20000 is a violation.
Namitha Sebastian
(article assistant)
(102 Points)
Replied 19 November 2014
If so BSNL being a govt entity , will Rule 6DD will apply?