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Excess paid after tds

Dinesh@123 (Account Executive) (66 Points)

05 July 2022

i have paid extra amount to the vendor as professional charges with tds deduction @ 10%? How will I adjust excess paid amount &tds in next month? what is entry for recording in the books?

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2 Replies

CA Rashmi Gandhi (Chartered Accountant) (86308 Points)
Replied 05 July 2022

Made expense entry with actual value and vendor balance with total amount paid so the balance kept available in ledger of vendor.

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Eswar Reddy S (CFO- at NHTF) (58263 Points)
Replied 06 July 2022

@ Dinesh,

Say present invoice is for 100000/- Book the payment entry for full amount.

Vendor A/c Dr 100000
Bank

Tds A/c 10000

To Bank

If the next bill is 100000/- then deduct 20000/- for Tds and pay only 80000/- to vendor

Exp a/c Dr. 100000
To Tds 20000
To Vendor 80000

Vendor A/c Dr 80000
To Bank

Tds A/c Dr 10000
To Bank

You can also do it in another way