RAHUL M (CA) (24 Points)
11 April 2009I belong to the Insurance Industry, where in the Payments recd by the Principals are always in an erratic manner....
Say I receive a payment of Rs.20324.22 from an Insurance Company as Commission which includes ST and has been paid after deducting TDS...I am a Pvt Ltd Co.
What will be accounting treatment for the same..
Jyoti Malik
(ACCOUNTANT)
(2644 Points)
Replied 15 April 2009
The gross amount including Service tax is 22658 (Net 20166 +Service Tax 2492 ( @ 12.36%)) & TDS is 2334 ( @ 10.3%)
Accounting treatment
1Party A/c Dr.22658
To Commission 20166
To Service Tax 2492
2 At the time of payment receipt
Bank Dr.20324
TDS Dr.2334
To Party 22658
All amounts are nearer to rs.
CAclubindia
