Tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

10 May 2014 security service charges - 18000
service tax - 2225
Total amount - 20225 bill issued

What will be the journal entry ?

and i paid the 19820 by deducting 2% tds (405)

What will be the payment entry ?

vibhor

vibhor (Expert)
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10 May 2014 Firstly, you are deducting wrong TDS. It should be 2% of Rs.18000 only if Service tax is separately showm in the Invoice.
Entry for Booking exp & TDS will be:

Expense Dr. 18000
Service tax Input Dr 2225
To Vendor 19820
To TDS 405

Payment entry
Vendor Dr 19820
to Bank 19820

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