Under Section 40A(3) which of the following payment for an expenditure incurred would not be admissible as deduction from business income-
A. ₹ 5,000 paid in cash to transporter
B. ₹ 5,000 paid in cash to a dealer in the morning and ₹ 10,000 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. ₹ 9,000 paid through bearer cheque to the dealer for goods purchased.
Answer:B
Under Section 40A(3) which of the following payment for an expenditure incurred would not be admissible as deduction from business income-
A. ₹ 5,000 paid in cash to transporter B. ₹ 5,000 paid in cash to a dealer in the morning and ₹ 10,000 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. ₹ 9,000 paid through bearer cheque to the dealer for goods purchased.