My company going to pay Advertisement for 2 lakh and 1 lakh is expenses for company and 1 lakh for dealer. Dealer amount will be recovered by company.
Q1: What is the TDS process, is there deduct TDS for 2 lakh if company get full value of bill Q2: If get seperate bill then how to treat balance amount in accounts
25 July 2011
Q1 : Company pays 2L for advt & recover 1 lac from dealer.
Ans : Company will deduct TDS on 2L. There will be no TDS on the recovery of 1 L.
Q2. If separate bill for 1L each in the names of company & dealer is raised, then both company & dealer will directly pay to the advertiser & both will deduct TDS on its part of bill.
CAclubindia
