Amendment of section 40A
Section 11 of the Finance Act, 2008 deals with amendment of section 40A. Amendment of section 40A. 11. In section 40A of the Income-tax Act, for sub-section (3), the following sub-sections shall be substituted, with effect from the 1st day of April, 2009, namely:— "(3) Where the assessee incurs any expenditure in respect of which a payment or aggregate of payments made t
Amendment of section 40A.
11. In section 40A of the Income-tax Act, for sub-section (3), the following sub-sections shall be substituted, with effect from the 1st day of April, 2009, namely:—
"(3) Where the assessee incurs any expenditure in respect of which a payment or aggregate of payments made to a person in a day, otherwise than by an account payee cheque drawn on a bank or account payee bank draft, exceeds twenty thousand rupees, no deduction shall be allowed in respect of such expenditure.
(3A) Where an allowance has been made in the assessment for any year in respect of any liability incurred by the assessee for any expenditure and subsequently during any previous year (hereinafter referred to as subsequent year) the assessee makes payment in respect thereof, otherwise than by an account payee cheque drawn on a bank or account payee bank draft, the payment so made shall be deemed to be the profits and gains of business or profession and accordingly chargeable to income-tax as income of the subsequent year if the payment or aggregate of payments made to a person in a day, exceeds twenty thousand rupees:
Provided that no disallowance shall be made and no payment shall be deemed to be the profits and gains of business or profession under sub-section (3) and this sub-section where a payment or aggregate of payments made to a person in a day, otherwise than by an account payee cheque drawn on a bank or account payee bank draft, exceeds twenty thousand rupees, in such cases and under such circumstances as may be prescribed, having regard to the nature and extent of banking facilities available, considerations of business expediency and other relevant factors.".
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Section 11, The Finance Act, 2008.
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Questions about Section 11
What does Section 11 of the Finance Act deal with?
Section 11 of the Finance Act is headed "Amendment of section 40A". Amendment of section 40A. 11. In section 40A of the Income-tax Act, for sub-section (3), the following sub-sections shall be substituted, with effect from the 1st day of April, 2009, namely:— "(3) Where the assessee incurs any expenditure in respect of which a payment or aggregate of payments made t
How do I find court cases under Section 11 of the Finance Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Finance Act 2008 11, section 11 Finance Act 2008, section 11 of the Finance Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.
What should I read with Section 11 of the Finance Act, and has it changed?
Its own text turns on Income-tax Act 40A (Expenses or payments not deductible in certain circumstances), so none of them can safely be read on its own.
When was the Finance Act enacted?
Finance Act was enacted in 2008. India Code records no commencement date for it. It is in force as at the date shown on this page.
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