Changes Relating to Cash Payments/Receipts
Income Tax Rules – Cash Transaction Limits Cash Expense Limit – Sec 40A(3) Cash Expense Limit: Cash payment above INR 10,000/day per person is NOT allowed as expense For transporters → limit is INR 35,000/day Cash Expense Limit Impact: Expense will be disallowed → higher taxable income For example: You pay INR 25,000 cash to …