Deduction which is Not allowed under Business/Profession

Amount of Expense Disallowed

Law/Particulars/Options/Limits

Tips

30%

  If TDS on Payment made to Residents is Not Deducted (if Required), 30% of the amount of Expenditure on Which TDS is not Deducted is disallowed

 

100%

If Payment(except salary) outside India OR NRI

·          Tax is deductible but not deducted

·          Tax is Deducted but not Deposited before the Due Date or Date of I.T Return

 

Cash Payment beyond Rs 20,000

Disallowance in case of payments for expenditure in cash beyond Rs. 20,000

 

100%

Amount Spend on Personal Expenditure is disallowed

 

 Sec 43B 100%

 Payment not made before the due date of filing of return ie.

under Sec 43B are Taxes, Duty, Surcharge, Cess or fees under any law, Employer’s Contribution towards provident fund, or gratuity, Employee State Insurance, and Bonus or Commission or Interest on Loan 

 

 

  Expenses or payments not deductible where such payments are made to relatives

[Sec.40 A(2)