Section 43B Certain Deductions Only if Amt paid

There are Certain expenses which are to be actually paid to claim deduction.

Last date for payment for these is the ITR Filing due date(31 July /30 September)

If these are actually paid after that date,then deduction allowed next year when payment actually made.

 Details of such expenses are

1. Any tax/duty/cess to be paid to government

2. Contribution to PF/Super Annuation/Gratuity fund

3. Bonus or Commission paid to Employees: -Refer 36(1)(ii)

If declared and not paid then not allowed as deduction

4 Interest on loan taken from Scheduled Banks/Public Financial Instituitions/State financial Corporation/State Industrial Investment Corporation etc allowed only on payment.

 5, Any leave salary/leave encashment paid to employees

Q 1

Suppose Expenses Include

Interest on loan of 100000 taken from bank which was paid as follows

Due date of ITR is 31 July 2016 but assessee filed ITR on 05-Aug-16 after paying interest

Q 2

Solve last question assuming loan was taken from friends and relative