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Tds on provision for expenses

This query is : Resolved 

22 August 2011 If we made a provision for expenses on 31st March 2011 without deduction of TDS on professional fee, contractors. And the provision reveresed on 1st April 2011 in subsequent year. Is TDS applicable on provision made.Are the provision are disallowed.

22 August 2011 YES, TDS IS ALSO APPLICABLE ON PROVISION ENTRY.

IF TDS NOT DEDUCTED ON PROVISION ENTRY, SAME WILL BE DISALLOWED



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