Accounting Entry

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Praveeri (Querist)
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23 January 2009 We have engaged a techinician for the purpose of repairing machinery. He has provided a bill stating labour charges, travelling & fooding seperately. Pls advice how to account in books:- 1.debiting entire amount to repairs & Maint.
2.seperately to the concerned head (if so whether liable for FBT).

On other case expenses of travelling and fooding incurred by us whether attract FBT.

Ram Avtar Singh

Ram Avtar Singh (Expert)
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23 January 2009 Repairing & Maintenance Machinery Dr
To Party/ Techinecian Cr

If Amount is Excedding 20000/= TDS should be deducted Under Sec 194C

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Praveeri

Praveeri (Querist)
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23 January 2009 what if we incure their travelling by paying cash from our cash in hand

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K V Subba Rao

K V Subba Rao (Expert)
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23 January 2009 To my knowledge, nature of payment is deciding factor for allocation but not mode of payment

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Azmathullah Khan

Azmathullah Khan (Expert)
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24 January 2009 Please u consider total item for errecting the Machine, and deducted the TDS.

if u r considering the amount seperately
Then Deduct the TDS on Labour & FBT on Travelling & Food expenses (which u have to pay from ur pocket.
Hence consider all the expenses including labour, spare, and others pocket expenses into repair & maintenance and Deduct TDS, and let the party will claim the TDS

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