Cash Payment Rules: Section 40A(3) and Rule 6DD Allow Splitting Payments of Rs. 20,000 Daily Without Violation.

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....Disallowance u/s 40A(3) r.w.r 6DD - Cash payment - as per the amended provisions, the said provisions shall apply only if the aggregate amount of payments made to single party in a day exceeds Rs.20,000/-. if an assessee makes payment of Rs.20,000/- in a day and he so makes payments in five days, then such splitting up of payments would not be hit even by amended provisions. - AT....