TDS on Provisional Entries
This query is : Resolved
17 January 2008
In case of companies which makes provisions for expenses for MIS reasons at the end of every month as a few bills might not been received and further reverse the same in the following month on the receipt of the bills from the concerned parties and pass a fresh entry to give effect for the same(TDS is made on reversal of first entry and passing of the actual entry) Whether the entry is right?? I feel it is wrong. I need an expert advice for whatever is the answer.
17 January 2008
Dear sindhu,
As per ur query,if for MIS purpose the provision are made at the month end and in next month the enteries are reversed then,it is clear my friend that tds should be made on the actual bill not on the provisions made for that bill.
there is no provison in Income tax act to make provision for tds on Accruals.So for MIsS reasons companies make accrual enteries not on actual, so no question of TDS reserve.
As per ur query,if for MIS purpose the provision are made at the month end and in next month the enteries are reversed then,it is clear my friend that tds should be made on the actual bill not on the provisions made for that bill.
there is no provison in Income tax act to make provision for tds on Accruals.So for MIsS reasons companies make accrual enteries not on actual, so no question of TDS reserve.
22 January 2008
Well.. so u mean to say that TDS has to be made only on actual receipt of teh bill.... i.e on actual basis alone..
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is Aadhar PAN linking required for opening bank account?
- Applicability
- Where to show the RCM on Rent paid to unregistered landlord
- CPC Processing IT Return for AY 2023-24 without recognizing the Taxation Option under New Regime
- Application of 115BAC
- Gst Sales of FY 2023-24
- GSTR-3B - Do I file nil when there is no sale but I've bought raw materials
- TDS NUMBER SURRENDER
- Legal heir raised refund , but refund issued to the closed account of deceased.
- RCM - commercial rent paid to URP under GST
- Whether still royalty
- 20% OF DEMAND PAYMENT IN APPEAL
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding Resignation by Auditor from Pvt. Ltd.
Trending Online Classes
-
Excel Mastery Program
CA Rishabh Pugalia
CAclubindia
