06 October 2014
Dear sir, Please let me know if i have received a bill on 13/08/2014 & paid the bill amount on 24/10/2014 after deducting TDS. In that case what is the Tds payment date.
07 October 2014
not necessarily...it will depend on when the bill was due for payment...the sections for TDS say TDS shall be applicable on payment or accrual whichever is earlier...mere receipt of bill doesn't result in accrual. This is especially relevant where cash basis accounting is done and where the bill is received in advance but not due.
Assuming that the bill accrued on 13 August itself, then you need to go by Tushar's opinion.
13 October 2014
No. It is payment or due basis - whichever is earlier. Mere receipt of bill unless due creates no impact on triggering tds provisions. The deductibility will depend on the accounting system. If i raise a bill on you which is due in december and you pay me in january, then deductibility will be dec as per accrual and jan as per cash basis. In october there is no liability.
CAclubindia
