If a company have deducted TDS on 31.01.2012 i.e. in FY 2011-12 but deposit the same in may 2012 i.e. FY 2012-13. Then should company make accounting entry of interest on TDS in FY 2011-12 or in FY 2012-13 and also how will this accounting entry will effect income tax return of FY 2011-12 i.e. AY 2012-13.
09 May 2012
The entry should be made in the year FY 2012-2013 i.e. in the month of May 2012. The effect of this entry is that in either case, even if it booked in 2011-2012 or 2012-2013, the interest shall be disallowed.
09 May 2012
Please rectify the question . I think you are talking about TDS Return. The TDS return should include the details of interest. But for accounting, the entry shall appear in the F.Y. 2012-2013.
CAclubindia
