pappu mishra (Service) (121 Points)
07 September 2011
Sir/Madam,
1. Deductor has to deduct TDS u/s 194 C on advance or accural basis whichever is earlier.
2. Due to which he has dedcuted the same on advance basis.
3. however dedcutee has not yet started any work till year end and thus there is no INCOME in his books.
4. How should Dedcutee should show TDS in his books as same is showing in 26AS.
5. if he claims only TDS without showing Income then whether any provision is violated or he should claim TDS this year and file return without Income.
Amit Gupta
(Loosening Myself)
(1508 Points)
Replied 07 September 2011
TDS Receivable Dr
To Party
The Credit of party would be set off against the income of assessee and it will not contradict any provisions of IT act
Pradip Shaw & Co
(Practice)
(227 Points)
Replied 07 September 2011
Though there is no income but busiess operation is started. so file return and clim TDS refund.
Jignesh Satapara
(Taxation & Finance)
(31 Points)
Replied 07 September 2011
journal entry is
cash/bank a/c. dr
tds a/c. dr
to party a/c.
there is not any violation of any act,,you can file your IT return & can very well claim your refund.
CA PRAVEEN SINGH
(MANAGER ACCOUNTS)
(2277 Points)
Replied 08 September 2011
There is no violation of act,file your return and claim TDS refund.
CAclubindia
