Under section 40A(3) which of the following payment for an expenditure incurred would not be admissible as de-duction from business income –
A. ₹ 15,000 paid in cash to a transporter
B. ₹ 5,000 paid in cash to a dealer in the morning and ₹ 5,000 paid in cash to the same dealer in the evening
C. ₹ 40,000 sent through NEFT to the bank account of the dealer for goods purchased
D. ₹ 19,000 paid through bearer cheque to the dealer for goods purchased.
Answer:D
Under section 40A(3) which of the following payment for an expenditure incurred would not be admissible as de-duction from business income –
A. ₹ 15,000 paid in cash to a transporter B. ₹ 5,000 paid in cash to a dealer in the morning and ₹ 5,000 paid in cash to the same dealer in the evening C. ₹ 40,000 sent through NEFT to the bank account of the dealer for goods purchased D. ₹ 19,000 paid through bearer cheque to the dealer for goods purchased.