Dear Sir,
We need to pay Job Work Bill Amount Rs.70,000 to Individual Contractor after deducting Rate Difference Rs.10,000/-.
Final Net Amount Rs.60,000 we need to pay.
Bill Booking Entry
1) Dr : Job work Account Rs.70,000
Cr : Contractor Account Rs.70,000
Debit Note Entry for Rate Difference
2) Dr: Contractor Account Rs.10,000
Cr: Job Work Account Rs.10,000
TDS Entry
3) Dr: Contractor Account Rs.600
Cr: TDS 1% Payable Rs.600
Payment Entry
4) Dr: Contractor Account Rs.59,400
Cr: Bank Account Rs.59400
All the above Entries and values are correct ?
Please check the above entries and reply me.
Regards,
M.Shanmugasundaram